PAYROLL UPDATE INFORMATION
NATIONAL MINIMUM WAGE INCREASE
From 1st October 2010 the National Minimum Wage Rate will increase as follows:
· For employees aged between 16 and 17 there will be an increase from £3.57 to £3.64.
· For employees aged between 18 and 20 there will be an increase from £4.83 to £4.92.
· For employees aged 21 and over there will be an increase from £5.80 to £5.93.
APPRENTICE MINIMUM WAGE
A minimum wage rate for apprentices has been set for the first time which will be £2.50 per hour for:
· apprentices under 19
· apprentices aged 19 and over, but in the first year of their apprenticeship.
PAYE/NICs LATE PAYMENT PENALTIES
As from 6th April 2010 HM Revenue & Customs have introduced penalties for late payment of PAYE, the calculation of which is as follows:
No. of times payments are late in a tax year |
Penalty percentage |
Amount to which penalty percentages apply |
1 |
No penalty (as long as the payment is less than six months late) |
Total amount that is late in the tax year (ignoring the first late payment in that tax year) |
2-4 |
1% |
|
5-7 |
2% |
|
8-10 |
3% |
|
11 or more |
4% |
INTEREST ON LATE PAYMENT OF PAYE/NICs
A daily interest on late payments of PAYE/NICs will be charged after the end of the tax year once HM Revenue & Customs receive the end of year returns.
Categories: Payroll