Maternity Pay

[Liney]

Hi Ladies

I am sitting here with a spreadsheet trying to work out how much money we will actually have to live on once I am on maternity pay. My mat leave from work states that there are 2 rates for SMP - a lower and a higher. I have tried googling but don't seem to be able to find 2 different rates. Can anyone shed some light on this or is this a case of my employers not knowing what they are doing?!

Cheers
x

 

[Aidedhoney]

I am led to beleive that SMP is 6 wks at 90% then 33wks at just over 100 depends on how long u have been with your employer. The government website has the exact figures

 

[Bekkiboo]

It's approximately £117 per week, but this is also taxed so about £114 afterwards.

Not sure about the 2 different rates, I've always thought there was just one standard rate for all mothers. Perhaps it's something that your employer offers rather than the government, I would definitely ask about it hun x

 

[Laura0786]

SMP has gone up to £123.06 since the 5th April, the first 6 weeks will be 90% of your weekly wage then it will go down to £123.06 for the remaining 33 weeks.

 

[Bekkiboo]

Wow, I had no idea Laura. The rate now seems atleast a little bit fairer lol x

 

[Laura0786]

Every little helps LOL! It's a shame we have to paid tax and NI on this. Seems really unfair, surely they could give us a break.

 

[Liney]

Thanks Ladies,
As I thought, there is only one level. I completely agree, paying tax and NI on such a small amount seems a little harsh!
x

 

[jojo2605]

Aw Liney you sound just like me, I have done a spreadsheet too but as i'm used to being paid monthly and SMP is worked out weekly, I have timed £123 by 52 weeks and then divided it by 12 to get a monthly figure: think this is right?!

 

[Liney]

I've done something similar, except worked it out daily so 123/7 just so I stand a chance of knowing if the payroll get it right, which they may not!!
x

 

[Bekkiboo]

Now my understanding is that any government payment, i.e. Income support is made up of taxpayers money and surely as a government payment SMP also falls under this catergory, and in effect we pay tax on money that is infact tax money to begin with

Gosh I've confused myself somewhat! Please do correct me if I'm wrong as the thought of this makes me slightly peeved! LOL

 

[jojo2605]

Hmmmm good point... actually that may work out a better way, i'll change it when i get to work tomorrow.. good thinking batman! hehe x

 

[Mimiso]

Hi,

Could you not email your Payroll department to work it out for you. My employers always work it out for us so that you know exactly what you will get after NI and tax for the duration you are on maternity leave. It is really helpful.

Good luck with the spreadsheet......