PAYE Changes 6 April 2012

From the 6th April 2012 there will be changes to rates and allowances that will apply to your payroll. Some of the main changes are listed below:

PAYE Allowances

• The PAYE tax threshold has increased from £7,475 to £8,105 per year

• The higher rate allowance has fallen from £35,001 to £34,371

National Insurance Allowances

• The lower earnings limit has increased from £102 per week to £107 per week

• The primary threshold has increased from £139 to £146 per week

• The secondary threshold has increased from £136 to £144 per week

Statutory Sick Pay (SSP)

• The standard weekly SSP rate will increase from £81.60 to £85.85

Statutory maternity, paternity and adoption pay (SMP, SPP, SAP)

• SMP (after the first 6 weeks), SPP and SAP will increase from £128.73 to £135.35

Student Loan

• The Student Loan Threshold will increase from £15,000 to £15,795 per year

You will need to ensure your payroll and all documents, such as employee handbooks are updated for the necessary changes.

For more information on all the changes to the rates and thresholds go to