I had my first client stage 1st May, and did everything that was required. A new worker started 2nd May and I have only just received his hours. The question is, is he above the threshold or below it?
The current employee is paid monthly, with set hours per week (below the threshold) and I do the hours on either a four week or five week month. The new employee has worked 2 weeks over the £192 per week and two weeks under. At first I added his hours up to 110 which put him two hours under the threshold on a monthly basis BUT according to the TPR website I think I should be calculating weekly rather than monthly?
43. The usual pay reference period for a worker therefore is the period of time by reference to which the employer pays the worker their regular wage or salary. The pay reference period is not the interval between the dates the worker actually receives their pay, ie it is not the pay frequency, although sometimes the two will coincide. For example, a salaried worker who is paid by reference to the work done in a calendar month will have a monthly pay reference period and will also have a monthly pay frequency
The easiest wy I can explain the pay reference perio0d is to explain how we do it as advised by our pension company and accountant.
we have weekly and monthly paid employees.
Contracts state that for monthly paid workers the month starts on 1st and ends on the 28th/30th/31st of the month. That is their pay reference period. However for logistical reasons the money actually goes into their accounts on the 23rd of each month so in effect they get a week up front. But we assess from 1st-31st of the month.
The weekly paid employees fill in a time sheet that starts on the Sunday and ends on the Friday. They are paid the following Friday. The pay reference period is the week those hours relate to.
In your case as it is hours actually worked rather than a monthly salary and so sometimes it is four week and sometimes five week months I would calculate weekly rather than monthly or it could get very complicated.
I can't answer the question on Moneysoft as we use bespoke software provided by the pension company.
-- Edited by pictures on Tuesday 30th of May 2017 09:59:48 AM
