Pay and pension changes from April 2019

In April changes to pension contributions and pay levels come into effect.

Pension contributions

Minimum pension contributions are increasing to a minimum of 8% of an employee’s salary. The minimum split for contributions is:

• Employer 3%
• Employee 5%

For more information click on this link.

Pay levels

If you pay anyone at the compulsory Living Wage levels (previously , then you have to put their pay up.

The new rates will be:

• 25 and older: £8.21 an hour is an annual salary of £16,000 for a 37.5-hour working week (usually 7.5-hour days) and just over £17,000 for a 40-hour working week (8-hour days)
• Aged 21-24 £7.70 an hour means salaries of around £15,000-16,000.
• Aged 18-20 £6.15 an hour involves £12,000-13,000 pay levels.
• Under 18 £4.35 an hour means you pay salaries of £8,500-£9,000.
• Apprentices £3.90 an hour means salaries of around £8,000.

For more information click on this link.

By Brian