The National Minimum Wage (NMW) and National Living Wage (NLW) are the legal minimum wage rates that must be paid to employees. Employers are liable to be penalised for not complying with the NMW and NLW rules.
There are different levels of NMW and NLW, depending on age and whether the employee is an apprentice. The rates are due to increase from 1 April 2019 as shown in the following table:
|FROM 1 APRIL 2018 (£)||FROM 1 APRIL 2019 (£)|
|NLW for workers aged 25 and over||7.83||8.21|
|NMW main rate for workers aged 21-24||7.38||7.70|
|NMW 18-20 rate||5.90||6.15|
|NMW 16-17 rate for workers above school leaving age but under 18||4.20||4.35|
|NMW apprentice rate *||3.70||3.90|
*for apprentices under 19 or 19 or over and in the first year of their apprenticeship
There are no exemptions from paying the NMW on the grounds of the size of the business.
If you would like help with payroll matters please get in touch.
Minimum pension contributions are set to increase from 6 April 2019:
|DURATION||EMPLOYER MINIMUM (%)||TOTAL MINIMUM CONTRIBUTION (%)|
|6 April 2019 onwards||3||8|
The Pensions Regulator has produced guidance for employers on dealing with the increase including a letter template to advise employees of the change.
Contact us if you would like help with auto enrolment.
The Financial Secretary to the Treasury, Mel Stride, has made a statement to the House of Commons setting out HMRC’s progress on delivery of Making Tax Digital (MTD). He confirmed there would be no further delays in implementation.
For most businesses, compliance with the regulations is mandated for VAT return periods beginning on or after 1 April 2019. However, MTD for VAT for some ‘more complex’ businesses has been deferred until 1 October 2019. This deferral applies to trusts; not for profit organisations not set up as companies; VAT divisions; VAT groups; public sector entities such as government departments and NHS Trusts, which have to provide additional information on their VAT return; local authorities; public corporations; traders based overseas; those required to make payments on account; annual accounting scheme users.
Contact us for help and advice on MTD for VAT.