Changes to the level of the national minimum wage and minimum workplace pension contributions are coming in April and they could affect your business.
National Minimum Wage Increase
Please be advised that from 01 April 2018, the national minimum wage rates are as follows:
|Current Level||From April ’17||From April ’18|
|Adult Rate (21-24)||£7.05||£7.38|
|16-17 year old rate||£4.05||£4.20|
Minimum Workplace Pension Contributions Increase
You may also be aware that the minimum workplace pension contributions are due to increase. This is a nationwide change, involving millions of companies and their employees across the country. Changes will take place in April 2018, and again in April 2019 – it’s the law.
The table below shows what the base contributions are, and the dates they will rise. You can also choose to give more than the minimum amount should you wish.
|Date Effective||Employer Minimum||Employee Minimum||Total Minimum Contribution|
|Currently Until 5 April 2018||1%||1%||2%|
|6 April 2018 to 5 April 2019||2%||3%||5%|
|6 April 2019 Onwards||3%||5%||8%|
Where CB Reid assist with clients’ payrolls we will increase the payments automatically. Please contact us if you would like to find out how your business could benefit from CB Reid’s payroll services.