From today employers are able to claim under the CJRS extension. Find out what you can claim for, the latest guidance and more…
November 11, 2020
The extension of the Coronavirus Job Retention Scheme (CJRS) was announced by Chancellor Rishi Sunak less than two weeks ago and the latest guidance has circulated from HMRC.
Employers across the UK can claim whether their businesses are open or closed.
How employers can claim under the CJRS extension
The extended CJRS will operate as the previous scheme did, in several respects:
- Employers must report and claim for a minimum period of 7 consecutive calendar days
- Employers will need to report actual hours worked and the usual hours an employee would be expected to work in a claim period
- For hours worked, employees will be paid by their employer subject to their employment contract and employers will be responsible for paying the tax and NICs due on those amounts
Employers will be able to claim from today.
Claims can be made:
- In respect of an employee for a minimum 7 day claim window
- In advance
- In arrears for the period from November 1, 2020 to November 11, 2020
Claims relating to November 2020 must be made by December 14, 2020.
It’s also confirmed that the claims portal process remains the same (subject to content reflecting November date ranges). Also, the content of the upload file stays the same with the 100-employee limit remaining in place for now.
Employers will need to:
- Pay their employees for the time worked and the government grant for the time not worked
- Operate PAYE on behalf of their employees, as per CJRS
- Pay employer National Insurance contributions and pension contributions for their employees on the full amount that they pay the employee, including any scheme grant
Employers will not be:
- Required to contribute towards 80% of the employees’ usual wages for the hours not worked
- Able to claim for employer National Insurance contributions or pension contributions
Employers can top up employee wages above the maximum salary threshold at their own expense
For claims between November 1, 2020 and January 31, 2021 employers will be able to claim a grant for 80% of usual wages up to a maximum of £2,500 per month per employee for the time the employee spends on furlough.
Get in touch
If you would like to know more about the recent changes and how your business can benefit from Coronavirus Job Retention scheme (CJRS), please contact us today. Our business growth experts are here to help you guide through these challenging times.