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Aaaahhh Auto enrolment contributions

Furloughed halfway thru month

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if an employee is furloughed half way thru the month how do you calculate how much pension contribution to reclaim. if banded do you use the band against the pre furlough earnings first?

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By coops456
20th Apr 2020 13:37

No, the band is eaten up by the furlough earnings first. There's an example in the guidance https://www.gov.uk/guidance/work-out-80-of-your-employees-wages-to-claim...
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"Example of how to calculate the grant towards employer pension contributions where the employee is furloughed during the pay period"

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By carnmores
20th Apr 2020 13:56

many thanks of course it is ;-) and calculating employers NI aint much easier

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By tom123
20th Apr 2020 14:10

I read it as the band is apportioned by days, rather than 'used up' first.

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By yelsnew
20th Apr 2020 14:39

I agree, divide by 30 or 31 and times by furlough days (including weekends!). If employer topped up adjust accordingly.

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