SMP is treated as earnings, so your employer will make any deductions (such as income tax and NI contributions) that are due. Your employer can also make other deductions from your SMP , for example pension contributions or trade union subscriptions.
How do I get my SMP back from HMRC?
To reclaim the payments, include them in an Employer Payment Summary ( EPS ) to HM Revenue and Customs ( HMRC ). You can write to the PAYE Employer Office to ask for a repayment if you cannot set off the payments against the current year’s liabilities. You cannot do this until the start of the next tax year.
What maternity pay do I get after 39 weeks?
The amount of maternity pay you get changes during your maternity leave. After 39 weeks, your employer doesn’t have to pay you anything.
How do I calculate my qualifying week for SMP?
To calculate your average weekly earnings your employer will average your gross earnings over a period of at least eight weeks up to and including the last payday before the end of your qualifying week. The qualifying week is the 15th week before the week your baby is due.
Can SMP be paid in a lump sum?
Employers can pay SMP in a lump sum if they wish, instead of paying it in 39 weekly payments. However, the employer will usually have to pay more National Insurance if they pay SMP in a lump sum.
Can you claim benefits on SMP?
SMP and MA are taken into account as income in full for Income Support, income-based ESA/JSA and Housing Benefit.
Do keeping in touch days affect SMP?
Once your 39 week maternity pay period has ended, any KIT days that you work will not affect your SMP or Maternity Allowance. Once you have completed ten KIT days, you will need to agree with your employer that you can continue on maternity leave until the end of the 52 week period.
What does SMP cost the employer?
SMP has to be paid at 90% of average weekly earnings before tax for the first 6 weeks.
