Thresholds for paying tax and NI and statutory payments such as SSP and SMP change at least once every tax year. Stafftax makes sure you are kept up to date with the latest rates.

Current tax thresholds
You must register and pay NI on behalf of your employee if you pay them £110 or more per week. You must also register if your employee has another job, even if you pay them below the threshold.

If you pay between £95 and £110 and your employee does not have another job you should still register as an employer although no tax and NI will be due. This will enable your employee to receive state pension and other benefits. Tax is only payable if you pay your employee £125* or more per week and they do not have another job.

Tax and NI payments
If your monthly tax and NI bill is below £1,500 you only have to pay tax and NI to HMRC on a quarterly basis.

Payment dates
19th July
19th October
19th January
19th April

Statutory Sick Pay (SSP)
The current rate is £79.15 per week.

Statutory Maternity Pay (SMP)
The first six weeks of SMP are at 90% of average gross weekly earnings. The remaining weeks of the maternity pay period (up to a maximum of 33 weeks) are paid at the lower rate of £123.06 gross per week, or 90% if lower.

Redundancy pay entitlement
Aged between 18 and 21: half a week’s pay, or £175, whichever is lower
Aged between 22 and 40: one week’s pay, or £350, whichever is lower,
Between 41 and retirement: one and a half week’s pay, or £525, whichever is lower
Please note that your employee qualifies for a multiple of the above for every year of continuous employment (for the same employer).

National Minimum Wage (NMW)
£3.53 per hour gross for employees aged between 16 and 17
£4.77 per hour gross for employees aged between 18 and 21
£5.73 per hour gross for employees aged 22 years and over

Offset allowance per 7-day week: £31.22

*providing your employee is on a standard tax code

The rates will be updated as and when they become available.