MY CIPP
The CIPP’s Advisory Service team provides answers to popular questions
Treatment of pension when employee is in receipt of statutory sick pay (SSP) Q: If an employee goes onto SSP, can we deduct the pension (salary sacrifice) or should the employer be paying this on their behalf? A: While an employee is in receipt of a statutory sick payment, you cannot deduct salary sacrifice which reduces that payment, and this includes for a pension. The employee’s contribution would stop, and the employer isn’t required to pick up the difference. The employer’s contributions would be based on qualifying or pensionable pay, and not based on full pay. Paying staff working remotely in Northern Ireland Q: As a UK-based business, if you were to employ a client working remotely based in Northern Ireland, can you process their salary through a UK payroll system, or does it have to be through an Irish payroll system? Does the UK business need to register for a pay as you earn (PAYE) number in Ireland and pay employer pay related social insurance (PRSI) for each employee? A: As Northern Ireland is part of the
has now gone on maternity leave. While she’s on maternity leave, can we leave her on the H code, or should she revert to the A category? A: She will remain on category H, as her position and contract hasn’t changed. She’s still an apprentice, just her circumstances have changed. However, if she moves into year two of her apprenticeship while on maternity leave, please be mindful of national minimum wage (NMW) implications if she’s aged 19 or above. It’s also advisable to check she’s still completing an apprenticeship when she returns from maternity leave to ensure the correct NI category is being applied at all times.
UK, there’s no real difference. However, there may be some differences with regards to statutory redundancy rates and employment law. But this can still be processed on a UK payroll system. PRSI is applicable in the Republic of Ireland. If the employee lives in Northern Ireland, this wouldn’t apply, and UK National Insurance (NI) / PAYE would be due. The following links may be of use: https://ow.ly/Th4550PXefx and https:// ow.ly/YxUf50PXegz. NI categories for apprentices on maternity leave Q: We have an employee who was in an apprenticeship scheme, so we were using the NI category H as she met all the requirements. But the employee Are there any special considerations to be mindful of when paying staff working remotely in Northern Ireland?
How do you treat e-vouchers and NI purposes?
Receipt of a P45 following a P6 Q: If you’ve received a P6 from HM How would you proceed when you are given a P45 following receipt of a P6 from HRMC?
| Professional in Payroll, Pensions and Reward | November 2023 | Issue 95 10
Made with FlippingBook - Online magazine maker