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  • Sally Brandon

2024 /25 Statutory Payments Rates



The statutory payments (National Insurance rates and thresholds and Statutory Payment rates) have  been confirmed and published by HMRC for the 24/25 Tax year.

The Lower Earnings Limit (LEL) remains at £123 per week.

The first six weeks of Statutory Maternity Pay (SMP) and Statutory Adoption pay (SAP) will remain as 90% of the employee’s average weekly earnings.

From week seven - thirty nine , the statutory weekly rate will be 90% of the employee’s average weekly earnings or £184.03, whichever is lower.

For Statutory Paternity Pay (SPP), Statutory Shared Parental Pay (ShPP) and Statutory Parental Bereavement Pay (SPBP) the payment will be  90% of the employee’s average weekly earnings or £184.03, whichever is lower.


National Minimum Wage Bands

2024/25 Rates

Aged 23 and over (National Living Wage)

£11.44

Age 21-22

£11.44

Age 18-20

£8.60

Apprentice

£6.40

Under 18

£6.40


Statutory Adoption / Maternity / Shared Parental Leave / Parental Bereavement Pay

2024-25 Rates

Earnings threshold

£123

Standard rate

£184.03 per week or 90% of average weekly earnings (whichever is lower)

Higher rate for Statutory Adoption / Maternity

90% of average weekly earnings


The Small Employers Compensation Rate remains at 3% (on payments made on or after 6th April 2011). The Small Employers Relief (SER) Threshold is £45,000. 

 

Statutory Sick Pay

2024-25 Rates

Earnings threshold

£123

Standard rate

£116.75


National Insurance Contributions 2024/25 (NIC):

The main rate of Employee National Insurance (Class 1 NICs) will be cut by 2p from 12% to 10%, from 6 January 2024.  For those employers who can't amend their payroll system in time for the January change, they will be able to reimburse any overpayment of NICs to employees in subsequent months

Self Employed NICs

The main rate of Self-employed National Insurance (Class 4 NICs) is cut by 1p from 9% to 8% from April 2024.  This takes effect on 6 April 2024.
From 6 April 2024, self-employed people with profits above £12,570 will no longer be required to pay Class 2 NICs, but will continue to receive access to contributory benefits including the State Pension.
Those with profits between £6,725 and £12,570 will continue to get access to contributory benefits including the State Pension through a National Insurance credit without paying NICs, as they do currently.
Those with profits under £6,725 and others who pay Class 2 NICs voluntarily to get access to contributory benefits including the State Pension, will continue to be able to do so.The weekly rate they pay will be frozen at £3.45 for 2024-25.

The Small Profits Threshold  - the point at which the self-employed start to receive National Insurance credits - has been frozen at £6,725, in line with last year’s approach. This supports low income working individuals by maintaining their access to contributory benefits, without having to pay NICs.


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