Statutory Sick Pay and Company Secretary on salary equal to personal allowances rate

Statutory Sick Pay and Company Secretary on...

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A Company Secretary (spouse of the director/100% shareholder) does not work elsewhere and receives a salary equivalent to the level of tax personal allowances. The person does work in the business, and maintains the accounting records, deals with administrative matters etc.
What is the position with Statutory Sick Pay - is the person treated as full time with five days per week ticked as the normal working period, or is it required to divide the salary by the hourly minimum wage rate to work out the number of hours worked in this case?
The question is to do with how much to claim back on the P35 rather than how much to pay the Company Secretary, as the person continues to receive the normal rate of salary.

I have a similar situation with a company director also - would the rules be different in this case?

Thanks for any advice.
David Evans

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By newmoon
12th Jun 2007 17:08

Lisa - that answers my question thanks
Thanks everyone for your comments. So taking Lisa's answer, the SSP is £70.05 (2006/07) per week, regardless of whether the person works one day or five days per week. I hadn't realised this, but trying the HMR&C CD calculator you are quite right - the number of days ticked makes absolutely no difference to the SSP for the week!
One lives and learns!

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By jvenegas16
12th Jun 2007 15:32

SSP
The weekly sick pay is £72.55 for a five qualifying days. Basicly you need the number of qualifying days per week, therefore, if it is three days, divide £72.55 by 5 and multiply by 3.
Regarding how much to recover, it is the difference of the SSP paid and 13% of the total national insurance paid in the month. The difference will be the amount you can recover, which will be directly from your monthly or quarterly payments to the Revenue.

This are the rules of the SSP scheme, which you may apply or not. Remember, under the scheme there is also 3 waiting days before the employee can be paid SSP.

I hope I have answered your question.

Juan Carlos Venegas

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By sheppitsgal
12th Jun 2007 16:11

Sorry - beg to differ
The £72.55 is for a weeks SSP, not 5 days. The £72.55 is divided by the Qualifying days (working days), so if your Co sec is employed for one day a week and is paid over the LEL, she will be entitled to £72.55 per week SSP, two days per week = 72.55/2 £36.28 per day, still £72.55 per week.

Employer Helpbook E14 (2007) is your basis for reference.

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By sheppitsgal
12th Jun 2007 16:37

Sorry again - missed last bit
Oops - missed the bit about the P35 figure. Can't remember what SSP rate was last year, but I would treat pay as part salary and part SSP for the sick period, e.g (based on this year figures)

100.00 per week = 72.55 SSP and 27.45 normal pay.

Hope this helps

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