How Will April’s Statutory Payment Increases 2017 Affect Your Payroll?
As of April, 1st, the government’s Statutory Payment Increases 2017 will increase. It has been a few years since Maternity, Paternity, Adoption and Statutory Sick Pay were increased, so don’t forget to double-check to make sure you are paying the correct rate.
Most payroll systems will automatically calculate this rate, but sometimes you need to edit in the settings, its best to double check. You can use this handy government website to check the current National Living Wage and National Minimum Wage.
While the UK’s new National Living Wage and National Minimum Wage are some way off countries like Australia, we are slowly catching up.
From the 1st April 2017 the rates will rise for the following:
Statutory Payment Increases 2017
National Living Wage (NLW)
- £7.50 p/h – workers aged 25 and over
National Minimum Wage (NMW)
- £7.05 p/h – workers aged 21 to 24 over
- £5.60 p/h – workers aged 18 to 20
- £4.05 p/h – young workers aged under 19 but above compulsory school age who are not apprentices
- £3.50 p/h – apprenticeship rate
From 6th April 2017, the Statutory Payment Increases 2017 will be as follows:
- £489 – weeks’ pay for calculating statutory redundancy pay, and the basic for unfair dismissal
- £80,541 maximum compensatory award for “ordinary” unfair dismissal
- £27 per day – Guarantee pay
- £89.35 – statutory sick pay (SSP)
- £140.98 – statutory maternity pay (SMP) and (maternity allowance)
- £140.98 – statutory paternity pay (SPP)
- £140.98 – statutory shared parental pay (ShPP)
- £140.98 – statutory adoption pay (SAP)
Make sure you are paying your teams the right amount of money because, as I always say, a happy team is a productive team.
If you would like any support or advice on the Statutory Payment Increases 2017 or any aspects of HR, please get in touch as I can definitely help you.
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