- March 29, 2020
- Posted by: STERLING FINANCE
- Category: Employee Benefits, Financial Advice
This is been temporary announced by the UK Government to help employers recover 80% of the wages of their workers.
Here are the key points
- The scheme start date is 01 March 2020
- Duration of the scheme is for 3 months
- This is given as grant up to 80% of wage bill per month
- 80% grant includes Employers National Insurance and Employers’ Pension contribution.
- If the salary every month is not same than average will be acceptable
- From this 80% grant Tax and National Insurance is still payable
Preparation to claim
Please obtain following information before you start claim:
- Your PAYE reference number
- The number of employees being furloughed
- The claim period (start and end date)
- Amount claimed (per the minimum length of furloughing of 3 weeks)
- Your bank account number and sort code
- Your contact name
- Your phone number
- You will need to calculate the amount you are claiming. HMRC will retain the right to retrospectively audit all aspects of your claim.
How to Claim
HMRC will create an online portal for you to claim. This portal is expected to be ready by the end of April 2020.
- Only 1 claim every 3 weeks
- Once HMRC have received your claim and you are eligible for the grant; they will pay it via BACS payment to a UK bank account.
- You should make your claim in accordance with actual payroll amounts at the point at which you run your payroll or in advance of an imminent payroll.
- You must pay the employee all the grant you receive for their gross pay, no fees can be charged from the money that is granted. You can choose to top up the employee’s salary, but you do not have to
We can help
Sterling Finance is open for business to support businesses during this tough time. Our experienced and knowledgeable team is ready to help you. Here is our contact details
Sterling Finance UK Limited
Tel 0161 339 4989