Higher earning family?... Your state pension may not be protected!

The child benefit claw back for higher earners (those earning over £50,000) was first introduced back in January 2013, and meant those who claimed the benefit had to pay it back through a charge on their tax return. 

However, mothers with children born after 6 April 2013 may not realise that by not claiming this benefit as their partner is a higher earner, this could leave them with a big gap in their national insurance record affecting their state pension entitlements.

If this applies to you, take action now!

If you or your partner fall into this category, you should either claim child benefit and include the tax charge on the higher earner's tax return, or fill out the form CH2 to claim the child benefit at 0%. Those qualifying years will then be protected up until the child is 12.

Those who claimed child benefit before 2013 will still be protected until their child is 12. If you don't claim for children born January 2013 and onwards, you could be missing out on those all important contributions especially for those not returning to work once the child has reached 12.

To qualify for a state pension, you now need 35 years of NI contributions. 

Blog by Caroline

Blog by Caroline

 

 

If you would like further information on anything outlined above, please contact Cooper Curtis on 0845 303 1144 or email info@coopercurtis.co.uk.

Please note, all our content is for general guideline only, every case is different and we would recommend speaking to us before taking any action as a result of the content. The content was correct at the time it was published

 

National Minimum Wage change to age bands from 1st October

From the 1st October 2016, the national minimum wage rates for the different age bands and for apprentices are increasing.

The new rates from next month will be as follows;

From October 2016 - April 2017

Adult rate (21+)NLW (25+)        £7.20

 Adult Rate (21-24)                    £6.95

YDR (18-20)                               £5.55

16-17 Yr Old Rate                       £4.00

Apprentice Rate                        £3.40

 

Please ensure your current payroll system is compliant in advance of the changes.

POST BY CAROLINE

POST BY CAROLINE

 

If you would like more information on the minimum wage requirements or have a payroll query, please contact us on 0845 303 1144 or email info@coopercurtis.co.uk. 

Please note, all our content is for general guideline only, every case is different and we would recommend speaking to us before taking any action as a result of the content. The content was correct at the time it was published

Do you run a Recruitment Business and are looking to employ an apprentice?

Are you a recruitment business owner looking to take on more employees? Have you considered taking on an apprentice? You could be eligible for a grant of up to £1,500 from the government under the employer apprenticeship grant scheme and be paid up to 5 grants in total per apprentice.

What's more, the grant income is offset as your wages expense therefore you don't pay any tax on this. To see if you are eligible for the grant, fill out this online form but hurry as this only subject to availability until December 2015!

The grant is available for 16 to 24 year olds and you must pay your apprentice at least the minimum wage and they work for at least 16 hours per week. Apprentices must be offered the same conditions as other employees such as sick pay and benefit and be asked to sign an apprenticeship agreement.

Employer National Insurance break

If your apprentice happens to be between the ages of 16 and 21, you no longer pay secondary employer national insurance contributions on their earnings up to the upper earnings level (£42,380 for 2015/16). This came into effect from April this year.  

 

Due to our industry knowledge, Cooper Curtis help recruitment businesses with their accounting and tax requirements as well as providing ongoing business support because we understand the challenges you face.

For more information on how we can help you raise your game, visit our website or alternatively call 0845 303 1144 or email  info@coopercurtis.co.uk to arrange a free meeting.

Please note, all our content is for general guideline only, every case is different and we would recommend speaking to us before taking any action as a result of the content. The content was correct at the time it was published.