When expectant mothers first discover they're pregnant, sorting out the family's finances and applying for Statutory Maternity Pay1 or Maternity Allowance1 isn't necessarily the first thing to be considered. There are so many more fun things to deal with, that making financial decisions, filling out forms and applying for grants is pushed to the back of the queue. Trying to find out about the full range of benefits that you might be entitled to during pregnancy and maternity leave is time consuming and can seem confusing. However, benefits such as Statutory Maternity Pay (SMP) and Maternity Allowance (MA) are there to help ease your finances whilst you look after yourself and your new baby.
To qualify for Statutory Maternity Pay you must have been employed by the same employer continuously (some exceptions) for at least 26 weeks into the 15th week before the week your baby is due. Statutory Maternity Pay is paid for a maximum period of 39 weeks. It is paid at 90 per cent of your average gross weekly earnings with no upper limit for the first six weeks and for the remaining 33 weeks at either the standard rate of £123.06 or 90 per cent of your average gross weekly earnings whichever is lower.
You need to tell your employer that you are pregnant at least before the first day of the 15th week before your baby is due. You may need to show your employer your certificate MAT B1 that you will get from your doctor or midwife around week 21 of your pregnancy. Your employer should help you understand their policy on Statutory Maternity Pay and what you are entitled to. Once you are in possession of the facts you will be able to start planning your family's finances2 for after your baby is born.
To claim Statutory Maternity Pay you must tell your employer in writing at least 28 days before the date you want to start your Statutory Maternity Leave. Your employer will usually pay you Statutory Maternity Pay in the same way and at the same time as your normal wages. Maternity Pay is treated as normal pay, so your employer will also deduct Tax and National Insurance as usual.
If you are self-employed or do not qualify for full Statutory Maternity Pay you could still be entitled to financial help in the form of Maternity Allowance. To qualify you must have paid Class 2 NI contributions on any self-employed earnings and like SMP it is paid for a maximum of 39 weeks. To qualify you must have worked for at least 26 weeks in the 'test period' which currently counts the 66 weeks up to and including the 15th week before the week your baby's due. You must have earned an average of £30 per week during 13 of those 26 working weeks and you can choose which 13 weeks to count (usually those with the highest earnings) to get the maximum amount of benefit.
Being a new mum is both exciting and exhausting, but being aware ahead of time what money you're entitled to during your maternity leave will mean you can enjoy your new baby without any additional financial worries.
To qualify for Statutory Maternity Pay you must have been employed by the same employer continuously (some exceptions) for at least 26 weeks into the 15th week before the week your baby is due. Statutory Maternity Pay is paid for a maximum period of 39 weeks. It is paid at 90 per cent of your average gross weekly earnings with no upper limit for the first six weeks and for the remaining 33 weeks at either the standard rate of £123.06 or 90 per cent of your average gross weekly earnings whichever is lower.
You need to tell your employer that you are pregnant at least before the first day of the 15th week before your baby is due. You may need to show your employer your certificate MAT B1 that you will get from your doctor or midwife around week 21 of your pregnancy. Your employer should help you understand their policy on Statutory Maternity Pay and what you are entitled to. Once you are in possession of the facts you will be able to start planning your family's finances2 for after your baby is born.
To claim Statutory Maternity Pay you must tell your employer in writing at least 28 days before the date you want to start your Statutory Maternity Leave. Your employer will usually pay you Statutory Maternity Pay in the same way and at the same time as your normal wages. Maternity Pay is treated as normal pay, so your employer will also deduct Tax and National Insurance as usual.
If you are self-employed or do not qualify for full Statutory Maternity Pay you could still be entitled to financial help in the form of Maternity Allowance. To qualify you must have paid Class 2 NI contributions on any self-employed earnings and like SMP it is paid for a maximum of 39 weeks. To qualify you must have worked for at least 26 weeks in the 'test period' which currently counts the 66 weeks up to and including the 15th week before the week your baby's due. You must have earned an average of £30 per week during 13 of those 26 working weeks and you can choose which 13 weeks to count (usually those with the highest earnings) to get the maximum amount of benefit.
Being a new mum is both exciting and exhausting, but being aware ahead of time what money you're entitled to during your maternity leave will mean you can enjoy your new baby without any additional financial worries.
No comments:
Post a Comment