Ssp

[borisbeaver]

My wife has been for some time now and she received a letter from her employer saying that she will no longer be paid whilst off sick.

 

I've read somewhere that she may be entitled to SSP. She has worked for the employer for 18+months.

 

Can someone explain, simply, how SSP works and how to get it?

[lbruk]

up to £87.50 a week and is for your employer to sort out i believe

[becky2585]

Hi there

 

The current rate of SSP is £85.85 per week for up to 28 weeks. Has she exceeded 28 weeks absence? If so, it might be worth visiting CAB as I believe there is an alternative disability-related benefit she can claim from this point (although I'm not a benefits expert, sorry!)

 

Under 28 weeks, her employer should automatically pay her SSP (plus any wages which may, for example, make up full or half pay under a contractual policy).

[borisbeaver]

Do she have to ask for it, or is it done automatically?

[becky2585]

Automatically, as above

[lbruk]

"should" be automatic, however it would be diligent of you to keep a close eye on it.

[Gbarbm]

SSP is a measure of earnings replacement when an employee is sick.

To qualify you must be sick for 4 or more days in a row (period of incapacity for work - PIW)

have earnings above the lower earnings limit for NI

The current PIW should not link with an earlier PIW within the 8 weeks before this PIW

 

So in the first week the employee is sick, if they work 5 days a week (their qualifying days - QD) they won't get paid for the first 3 days whist the PIW is being formed, these are referred to as waiting days.

On day4 & 5,they receive 2/5 of the weekly SSP (£34.34 - £85.85 x2/5)

SSP is classed as taxable income, so if their normal wages plus the SSP makes them liable, tax and NI will be paid.

If there continue to be paid SSP, it is likely there will be a refund of tax if they are on a cumulative tax code.

This is because at the start of the tax year, the PAYE code is calculated as if the person is going to be in receipt of normal pay for the whole year; but if the employee receives SSP which is less than their normal pay, there will be a refund as a result of the decrease in pay and the corresponding decrease in tax deductions.

[borisbeaver]

It was paid today, though it hit her account late morning rather that early morning.