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Understanding Flexible Furlough.

Totally confused

Didn't find your answer?

OK, probably my fault for leaving it too late, but I've just read the rules on Flexible furlough and I'm baffled.
Thinking I might get some clarity from running it through the HMRC calculator I am even more baffled.

I was hopng, by running it through the calculator, it might give me an idea of how the calculation is made up but I'm flummoxed. Is there a simple formula or am I best off running it though the HMRC calculator every week.

Replies (7)

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RLI
By lionofludesch
28th Jun 2020 17:59

Maybe every day.

Things have a habit of changing.

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blue sheep
By NH
28th Jun 2020 18:49

Maybe provide us a specific example of what you are trying to work out?

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Replying to NH:
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By legerman
28th Jun 2020 19:23

NH wrote:

Maybe provide us a specific example of what you are trying to work out?

Thanks

19/20 pay £14,274 (49 weeks) paydate 19/7/19 £324 paydate 26/7/19 £270

Claim period 6/7/20 - 11/7/20 paydate 19/7/20

Hours worked 15 @ £9 an hour. Normal hours 30

(was 37.5 for a while in 19/20 and hours varied on odd weeks)

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By jules66
29th Jun 2020 01:09

I also tried to use the HMRC calculator and it confused me no end. Particularily the dates that it asked for. In the end the calculation it gave me agreed with my figures, but I couldn't make head nor take of the dates it gave.

I found the HMRC webinar very useful. It gave a worked example, straightforward monthly one. Will see if I can find the details and post here tomorrow.

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By jules66
29th Jun 2020 12:58

Will try to find HMRC recording for you. All our clients are monthly, but I would say your calculations are as follows:
The same pay period last year appears to have a higher daily rate of £46.29 (£324/7) Tax year average is £41.62.
So £46.29 x 7 x .8% = £259.22 x 15 (furloughed hours) / 30 (usual hours) = £129.61 furlough due. Plus you will pay them for their hours worked....then to work out ERS NIc/pension you can reclaim.

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Replying to jules66:
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By legerman
30th Jun 2020 15:30

jules66 wrote:

Will try to find HMRC recording for you. All our clients are monthly, but I would say your calculations are as follows:
The same pay period last year appears to have a higher daily rate of £46.29 (£324/7) Tax year average is £41.62.
So £46.29 x 7 x .8% = £259.22 x 15 (furloughed hours) / 30 (usual hours) = £129.61 furlough due. Plus you will pay them for their hours worked....then to work out ERS NIc/pension you can reclaim.

Thanks. Doing it your way I understand it. Calculator came back with £143 when I first did it the other day and £123 yesterday*, although using the formula on the youtube link JHC has posted, I get the answer you have.

* Although yesterday it split the week from Mon-Fri, then Sat/Sun (employee is paid the following Friday)

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By JHC
29th Jun 2020 13:04

https://youtu.be/EVmY2-IxAMU

I found this really useful, seemed to slot into place for me after I'd understood the monthly example.

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