Luckily our back of shirt partner MOORE Kingston Smith are perfectly positioned and highly knowledgeable about this subject.
Please see the below outline that they have shared with the club as we transition through this period, and they are keen to share with you too.
The rules covering the final three months of the Coronavirus Job Retention Scheme have finally been announced.
There are three key areas:
|Month||Furlough grant||Payment due from employer||Liability for employer’s NI and pension on grant|
|Up to July 2020||Max of £2,500 or 80% of earnings||None||HMRC|
|August||Max of £2,500 or 80% of earnings||None||Employer|
|September||Max of £2,190 (*) or 70% of earnings||Max of £312.50 (*)or 10% of earnings||Employer|
|October||Max of £1,875 (*) or 60% of earnings||Max of £625 (*) or 20% of earnings||Employer|
|November||The Scheme will end on 31 October 2020 so no further furlough grants can be claimed|
* – exact figures to be confirmed
2. The Job Retention Scheme will be closed to new entrants after 30 June
For an employee to be eligible for a grant under the job retention scheme from 1 July 2020, they must have been part of a claim for a furlough grant before 30 June.
As the minimum period which can be claimed is 3 weeks, the Chancellor has said that employees must be furloughed on or before 10 June 2020 to allow the 21 days to elapse before 30 June.
Employers will have until 31st July to make any claims in respect of the period to 30 June.
3. Employees who have been furloughed will be allowed to work part time from 1 July 2020
From 1 July, the requirement that employees provide no services to their employer or directly or indirectly generate income for their employer is removed.
Furloughed employees can return to work part time and their employer would pay them their normal salary for that period with the balance of days not worked being eligible for the furlough grant until 31 October.
Bear in mind that the furlough scheme being closed to new entrants from 1 July will limit those able to benefit from part time furloughing. To benefit from the flexible furlough scheme from 1 July employees must first have had three weeks of full time furlough carrying out no work whatsoever.
The Scheme until 30 June – A reminder…
While on furlough, they:
Expect these conditions to be checked in future PAYE Compliance visits from HM Revenue & Customs.
The following three videos could be really helpful for you and your business.
Karen Wardell, Partner at MOORE Kingston Smith is on hand to support you and your businesses through this period, for further information please contact her:[email protected]