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The changes that have been implemented are summarized below. Click on the links provided to take you to the detailed description of the changeFor further information, click on the expandable sections for the relevant subject matter.

Update

Short Description

Statutory Parameters for 2022/2023 tax year

The statutory parameters for tax year 2022 to 2023.

P60 version for 2021/2022 tax year

P60 layout has not changed from 2020 to 2021 tax year.

NI Category for Veterans

The new features that are available for the new NI category for Veterans.

NI Categories for Freeports

The new features that are available for the new NI categories for Freeports.

Health and Social Care Levy

An alert notice to payees of the National Insurance contribution increase.

Scottish Earnings Arrestment Parameters

An increase to the Scottish Earnings Arrestment parameters

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titleStatutory Parameters 2022/2023

Statutory Parameters for 2022/2023 Tax Year

The breakdown of all UK statutory parameters for each tax year can be found here.

Tax Bands/Tax Rates

The tax rates for England/Northern Ireland, Wales and Scotland have not changed from the previous tax year.

The tax bands for England/Northern Ireland and Wales have not changed from the previous tax year.

The tax bands for Scotland have changed. Please refer to the Statutory Parameters for Each Tax Year page for details.

National Insurance Thresholds/Rates

The National Insurance Thresholds have changed. Please refer to Statutory Parameters for Each Tax Year page for details.

To fund the NHS and social care across the UK, the National Insurance contributions have been increased by 1.25% for both employee and employer contributions. The table below demonstrates the percentage values that will be charged for the thresholds of pay (using a weekly frequency) for the different National Insurance Categories.

Category

Weekly Earnings £

Percentage

Employee

A,M/H/F/V

Earnings up to 190

Earnings between 190 - 967

Remaining earnings above 967

0

13.25

3.25

B/I

Earnings up to 190

Earnings between 190 - 967

Remaining earnings above 967

0

7.1

3.25

C/S

All earnings

0

J/L/Z

Earnings up to 190

Earnings of 190 and above

0

3.25

Employer

A/B/C/J

Earnings up to 175

Earnings above 175

0

15.05

M/Z/H/V

Earnings up to 967

Earnings above 967

0

15.05

F/I/S/L

Earnings up to 489

Earnings above 489

0

15.05

This table gives an example of what the increase will mean in monetary terms comparing to 2021/2022 tax year.

NI Category

Weekly Earnings £

2021/2022

2022/2023

Employee

Employer

Employee

Employer

A

400

25.92

31.74

27.82

33.86

1000

94.62

114.54

104.02

124.16

M/H

400

25.92

0

27.82

0

1000

94.62

4.55

104.02

4.97

...

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titleHealth and Social Care Levy - Communication with Payees

Health and Social Care Levy - Payslip Message

As highlighted in the Statutory Parameters 2022/23 section, the amount of National Insurance employees and employers make is increasing. This is to help fund the NHS and social care. The HMRC has requested for employers to output a message on payslips for 2022/2023 tax year, where possible, to inform payees of the uplift to contributions. The HMRC has provided a suggested message of:

1.25% uplift in NIC funds NHS, health & social care.

This has automatically been applied to the Pay Company > Payslip Message field in your application similar to the screenshot example below.

It is your decision if you wish to output this message onto your payslips or whether you wish to change it to another message. You are free to remove the message from this section. Please be aware of the following regarding this payslip message:

  • It will only display if you have included payslip messages and Pay Company Payslip row in your document format. See an example below in the document format configuration screen:

  • If you also have payslip messages in your document format for contractor self bill invoices, the message would also be output.

  • If this is the case, and you wanted to output the message to your PAYE employees only, an alternative approach would be:

    • Remove the payslip message from Pay Company > Payslip Details > Payslip Message that has been applied above.

    • Go to your payslip template for your PAYE payees.

    • Click on Payslip Message to highlight the section.

    • In the right hand panel click the plus symbol in Rows/Columns to add another item.

    • Click on the folder to edit the newly created item. This will open up the Field Properties

    • Give it a name e.g. HMRC Message

    • Click on Item.

    • Click on the ellipsis button (3 dots) against the Database Field. This will open another pop up screen.

    • Image RemovedImage Added
    • Enter the required message in the Text Before field.

    • Click Ok which will close the pop up.

    • Click Ok which will close the Field Properties.

    • Click Save to save the changes. You can preview the output to see your message.

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titleScottish Earnings Arrestment Parameters

Scottish Earnings Arrestment Parameters

The Scottish Earnings Arrestment parameters are changing from 6 April 2022. The parameters will be:

Net Earnings £

Deduction

Weekly

Not exceeding 130.73

Nil

Exceeding 130.73 but not exceeding 472.54

£4.00 or 19% of earnings exceeding £130.73, whichever is the greater

Exceeding 472.54 but not exceeding 710.42

£64.94 plus 23% of earnings exceeding £472.54

Exceeding 710.42

£119.66 plus 50% of earnings exceeding £710.42

Not exceeding 566.51

Nil

Exceeding 566.51 but not exceeding 2047.65

£15.00 or 19% of earnings exceeding £130.73, whichever is the greater

Exceeding 2047.65 but not exceeding 3078.47

£281.42 plus 23% of earnings exceeding £2047.65

Exceeding 3078.47

£518.51 plus 50% of earnings exceeding £3078.47