Further updates on the CJRS that have been released over the weekend/today:
- Further details guidance on exactly how to calculate furlough pay has been updated here: https://www.gov.uk/guidance/work-out-80-of-your-employees-wages-to-claim-through-the-coronavirus-job-retention-scheme#work-out-80-of-your-employees-usual-wage
- They have released a calculator that can be accessed here: https://www.tax.service.gov.uk/job-retention-scheme-calculator/?_ga=2.236125825.1857076979.1587364897-897561694.1581694679
- HMRC have also clarified how holiday should be treated in conjunction with furlough leave. Employees can take holiday during a furlough period and it doesn’t affect the minimum 3 week period. They would be entitled to 100% of their pay for the holiday period but the employer could not claim 80% of it back. i.e. employee is furloughed for three weeks, week 3 they have a week’s holiday, the employer can claim furlough for weeks 1 & 2 but not 3 and the employee would need to get 100% pay for week 3 but 1 & 2 could be paid at 80%.
- Also, where employees would normally have a bank holiday off, but they are furloughed, this bank holiday should be added to their holiday entitlement – unless the employer opts to pay the bank holiday at 100% and not claim the furlough for that day. For the payrolls we process we are assuming the former, so please let us know if this is not the case.
- The claim portal is open and can be accessed here: https://www.gov.uk/guidance/claim-for-wages-through-the-coronavirus-job-retention-scheme
- We completed our first claim at 8am this morning and it was reasonably straight forward
- Please note that we will prepare the claims for all clients where we prepare the payroll
- We have built a simple excel calculator that can assist in the calculations for making a claim – please get in touch with me if you require a copy
As always, if you have any queries please get in touch.