The HMRC is making changes to the Coronavirus Job Retention Scheme (CJRS) from 1st September and what this means for you.
What you need to do from 1 September
- From 1 September CJRS will pay 70% of usual wages up to a cap of £2,187.50 per month for the hours furloughed employees do not work.
- You will still need to pay your furloughed employees at least 80% of their usual wages for the hours they do not work, up to a cap of £2,500 per month. You will need to fund the difference between this and the CJRS grant yourself.
- The caps are proportional to the hours not worked. For example, if your employee is furloughed for half their usual hours in September, you are entitled to claim 70% of their usual wages for the hours they do not work up to £1,093.75 (50% of the £2,187.50 cap).
- You will continue to have to pay furloughed employees’ National Insurance (NI) and pension contributions from your own funds as per the changes made from 1st August.
What to do next
For further information on this and other topics contact Tony on 07974-418819 or email at tonymiles20@gmail.com or through the contact page of the website http://www.milestone-solutions.co.uk