Statutory payments ― maternity, paternity, adoption and parental bereavement

Produced by Tolley in association with

Employment Tax

Guidance

Introduction

Absences for reasons of maternity, paternity and adoption usually mean that the employer will have to make some payment to the employee, provided that the employee satisfies the qualifying conditions. These payments tend to be grouped under the heading of ‘statutory payments’.

The statutory basis for statutory maternity pay (SMP) is in SI 1986/1960 and for adoption and paternity pay in the Employment Rights Act 1996. The original legislation has been added to and amended over the years to improve the rights available to employees. For example, the length of paid leave was increased, the concept of ‘keeping in touch days (KIT days)’ were introduced in the Work and Families Act 2006.

A number of acronyms are used for the purposes of these statutory payments, as follows:

Acronym	Meaning
APP	Adoption pay period
AWE	Average weekly earnings
EWC	Expected week of childbirth or expected week of confinement
KIT days	Keeping in touch days
LEL	Lower earnings limit
MATB1	Certificate giving the date the

Access this article and thousands of others like it
free for 7 days with a trial of Tolley+™ Guidance.

TAKE A FREE TRIAL

Vince Ashall

Payroll Consultant & Trainer at VA Payroll Services

Involved in payroll for more years than I care to remember! Initially in the NHS, where i oversaw the development of the NHS's bespoke payroll system (SPS Standard Payroll System), and latterly in the private sector. Served for 13 years as a MNT for a private sector defined benefit pension scheme. Have had articles published in payroll publications and and provide updates for various publishers. Fellow of the CIPP and gained a MSc in Payroll & Business Management in 2002. Now a self employed payroll and pensions consultant

Popular Articles

Personal Tax

Foreign self-employment

Foreign self-employmentTrading in another jurisdiction involves many issues, only some of which involve taxation. Advice should be taken, not only in relation to tax but on the wider business implications. For an overview of the points to consider for certain jurisdictions see Tolley's Global

14 Jul 2020 11:44 | Produced by Tolley Read more

Owner-Managed Businesses

Tax implications of administration and liquidation

Tax implications of administration and liquidationThis guidance considers the tax implications of a company going into administration or liquidation.Introduction to company administration and liquidationCompany going into administrationA company which is in financial difficulty may go into

14 Jul 2020 15:29 | Produced by Tolley Read more

Corporation Tax

Terminal trading loss relief

Terminal trading loss reliefTerminal loss relief for trade losses in the final 12 monthsTrading losses incurred by a company in the final 12 months leading up to the discontinuance of trade may be carried back for up to three years from the period beginning immediately before that 12-month period.

14 Jul 2020 13:49 | Produced by Tolley Read more

��˾��ҹ��