Information supplied by A4G Accountants in West Kingsdown, Kent
The HMRC have issued the following updates for its Job Retention Scheme:
1. The cut-off date for when an employee started with the employer has now been moved to the 19th March 2020. This means if you took on a staff member on the 1st March under the original guidance you could not furlough them but now you can. It is expected that about 200,000 more people will therefore be brought into the furlough arrangements as a result.
2. More details have been announced about how the claims will be made. Large employers will be able to upload a csv or excel file to give employee details. It stated: “If you have fewer than 100 furloughed staff you will be asked to enter details of each employee you are claiming for directly into the system – this will include their name, National Insurance number, claim period and claim amount”.
3. Make sure you have a government gateway access as this will help ensure you can access the scheme.
Claiming universal credit
If you are a sole trader who has only just setup a new business, run a small limited company with no income or are out of work and not able to get a furlough payment, then this maybe the option you need to take to support yourself in the coming months.
Universal Credit is a benefit payment supplied by the government to help pay living costs for people in the UK who are on a low income or out of work, even if this is temporary due to the Coronavirus Pandemic.
The basic payment could range from £357.69 to £594.04 per month depending on your age and if you are claiming as a cohabiting couple. But this is reduced by the amount of income you still have coming in and any capital you have in savings. If you have savings of more than £16,000 then you will not be able to claim Universal Credits.