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Job Support Scheme Update

The Job Support Scheme terms are updated as follows;

  • Employers can claim for employees who are working a minimum of 20% of their usual weekly/monthly hours.
  • If the employee is working 20% of their usual hours, the Government will pick up the tab for 61.67%, and the employer must pay 5% along with any deductions/pension contributions.

First Example of Gross Pay Breakdown

  • If employee A would usually be paid 100 hours per month @ £10 per hour, but in November only works for 45 of these hours (45%), they would qualify, and the breakdown of their pay would be as follows;
    • Paid for Employer for work carried out - £450
    • Remaining Salary which would normally remain unpaid - £550
      • Government Pay - 61.67% - £339.18
      • Employer Contribution - 5% - £27.49
    • Total Pay to Employee - £816.67

Second example of Gross Pay Breakdown

  • If you are on the standard Directors salary of £750, working the minimum of 20 percent, your Job Support Claim would look something like this;
    • Paid work @ 20% of usual salary - £150
    • Remaining Salary which would normally remain unpaid - £600
      • Government Pay - 61.67% - £370.02
      • Employer Contribution - 5% - £30
    • Total Pay to Director - £550.02 (Minimum payment of £520 required for Furlough bonus payment)

About the author

Emma Armstrong

Emma Armstrong

Emma has worked in finance for over 15 years, becoming a self-employed Bookkeeper 11 years ago, and training to become a Certified Accountant before launching B-Able in 2012.

Emma is dedicated to providing her clients with reliable business support.