The Government have recently announced that if you employ an apprentice, you may not need to pay employer Class 1 National Insurance contributions (NICs) on their earnings.
Skills Minister Nick Boles said: "We're making it even better value for businesses to take on a young apprentice. Businesses will no longer need to pay National Insurance contributions for apprentices under 25."
"Apprenticeships make sense for young people and for business. If you're an employer not already reaping the benefits, now is the time to act."
This cost saving opportunity applies to businesses that already employ eligible apprentices, as well as those taking on a new apprentice.
To be eligible, apprentices must be:
- Earning below £827 a week (£43,000 a year)
- Under 25 years old
- Following an approved UK government statutory apprenticeship framework
Employees will continue to pay the standard rate of Class 1 NICs through their salary and won't see any reduction in their payments - it's the businesses that will benefit from this change.
For more information about taking on an apprentice or offering apprenticeship training for your existing staff, contact us on 02476 231 122 or email email@example.com today.
For full details on this legislation change visit the Government website.
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