Fact Sheet For SMP
What to do if your nanny becomes pregnant
If your nanny becomes pregnant during her employment, you are legally required to pay her SMP in accordance with the following rules, however this is funded by HMRC.
To qualify for SMP, she must have been in your employment for 40 weeks before her anticipated confinement date. If 90% of her gross weekly salary is more than £123.06, the SMP allowance for 2009/10, she will receive 90% of her gross salary for 6 weeks, subject to any changes in the pending budget.
At 20 weeks pregnant she will be issued with a MAT B1 form from her midwife or doctor. This form must be sent to The Nanny Payroll Service along with the expected date of commencement of her maternity leave, and the number of weeks she expects to take. (The permitted period of maternity leave is 39 weeks paid, but they can take 52 weeks , the last 13 weeks being unpaid.)
Her total SMP entitlement is 6 weeks at 90% of her gross salary over qualifying weeks, as set out above, and 33 weeks at the statatory rate of £123.06.
When we receive the original MAT B1 her entitlement is calculated and we send you a forecast of the payments. Payments may be taken in equal monthly installments or at 90% of gross for 6 weeks and then the SMP rate for the remaining 33 weeks. We recommend the equal monthly payments method as research shows a preference by employees to receive a regular amount each month to assist their budgeting.
We also apply for the funding of her entitlement, which is paid direct to you as a lump sum, plus a premium of 4.5% as compensation.
If your employee's average earning are between £95.00 and £123.06 gross per week, funding can still be obtained but please contact Sandra Knapton-Hajo on 01536 262100 for more information.