To be paid Statutory Maternity Pay (SMP) your employee must be eligible – you can find out the conditions for SMP here
If your employee has proved they’re eligible for SMP and has started their maternity leave then it’s time to start paying their SMP.
SMP is payable for up to 39 weeks, usually as follows;
- For the first 6 weeks – you’ll pay 90% of the employee’s average weekly earnings (AWE) before tax.
- For the remaining 33 weeks – you’ll pay them £139.58 per week or 90% of AWE (whichever is lower).
- Tax and National Insurance are still deducted as normal from their earnings.
You can pay your employees more than the SMP rates if you want to – it could be a valuable part of your benefits package, for example. But you must make sure your maternity leave policies are made clear to employees from the start.
If you need help with your SMP processes, give us a call on 01454 300 999, or drop an email to email@example.com