Statutory Payments

As an employer there are a number of statutory payments that you may need to pay your employees.

Employers can normally reclaim 92% of this but small employers may be eligible to claim back 103%. Further guidance on reclaiming these, please see HMRC guidance here: Recover Statutory Payments.

What statutory payments can I reclaim?

• Statutory Maternity Pay (SMP)

• Statutory Paternity Pay (SPP)

• Statutory Adoption Pay

• Statutory Shared Parental Pay (ShPP)

• Statutory Parental Bereavement Pay

Follow the links above for further HMRC guidance. There are calculators available on the HMRC website to enable you to calculate the correct amounts you should pay and what your can reclaim.

My company pays more than statutory, where do I put the payment?

You can only claim back statutory and anything above statutory must be made as a separate payment. It will be subject to tax, NI and any pension deductions. You can select Other from the drop down menu in payments and change the description to suit your payment type.

How can I claim this back in Chronicle Payroll?

When you have entered the above payments to your employees, you complete pay run and submit your FPS. An EPS - Statutory Payment Recovery will also be produced, which you can then be submitted. You will find this in your RTI Submissions list. See our guide RTI Submissions.

What about Statutory Sick Pay?

Unfortunately, employers cannot reclaim Statutory Sick Pay (SSP) but have an obligation to pay it. For further guidance on working out how much SSP you need to pay, please follow the guidance here: Employers Guide to Statutory Sick Pay. You can record SSP payments you have made by selecting SSP from the drop down menu in payments.

Covid-19

The government did announce employers with less than 250 employees could reclaim 2 weeks of Covid-19 related SSP. HMRC have not set up details of how this can be reclaimed yet. If you would like to make a record of SSP payments you have made to your employee, select SSP Covid-19 from the payments menu.

HMRC will update when you can claim this back here: Claim back Statutory Sick Pay