Furlough Calculator

Why Use A Furlough Calculator?

As per the government of the UK and according to the Guidelines of HMRC on their official website the tax deduction rates and employee wages are changing every month. There are different ways for calculating salary on monthly basis, yearly and hourly. For June, July and August there are 80% employee wages, from 1st September employee wages will be 70%, from 1 October employee wages will be 60%.

How To Use Furlough Calculator?

1. For using a furlough calculator you should fill all the required fields.
2. Select your loan scheme from the dropdown box.
3. Select your Month of furlough from the dropdown box.
4. check the checkbox if you are under pension scheme or NI.
5. click the calculate button.
6. click the reset button it will reset form.

Features

When you need to calculate the salary of more than one employee and for different dates and different working hours then you need to use a furlough calculator. It will reduce your time, and always generate results without any mistake. This way everyone can calculate their salary, and no one will complain about the salary calculation mistakes. When you are using the calculator for calculating the salary then you don't need to worry about changing rules of UK govt and their new tax rates. This way it reduces your burden of calculating salary according to new salary deduction guidelines.

Monthly Pay

for calculating your salary you should know the tax amount that will be charged by the UK govt on your salary. according to HMRC, guidelines tax rates are applied to your salary according to the amount of salary you get.

Working Days In One Week

Enter the total usual working days of your company in one week. The working week is from Monday to Friday and the holidays are two days Saturday and Sunday. This is required because some companies continue to work from Monday to Saturday.

Working Hours In One Day

Working hours are very important for those who work on an hourly basis and their salaries are according to hours. According to Uk govt and HMRC guidelines, the maximum working hours are 9 hours in Uk. this rules are defined under Factories act 1948, every adult, adult means a person who has completed 18 years of age can work 48 hours a week.

Enter Total Monthly Working Hours (actual)

The number of days you are not working due to some reason. How many hours (maximum) a person can work? According to the Factories Act 1948, the maximum working hour of a week is 9*5 48 hours. Any employee can not work more than the maximum limit set in the Factories Act 1948. Also, the daily maximum working hour is 9 hours/day.

For Salary Tax

Now for tax calculation on your income use tax rates of U.k government. Tax On: Salary up to £12,500* tax is 0%. Salary between £12,501 - £50,000 tax is 20%. Salary between £50,001 - £150,000 tax is 40%. £150,001-For Salary more than £150,001 45% tax.

For Student Loan Schemes

There are three schemes for students:

1. Loan1
2. Loan2
3. Postgraduation loan

Student Loan Tax Rates

Student Loan Plan1

1. Below £19,390 0%
2. Above £19,390 9%

Student Loan Plan 2

1. Below £26,575 0%
2. Above £26,575 9%

Student Loan Postgraduate Loans

1. Below £21,000 0%
2. Above £21,000 6%

National Insurance Tax Rates

Below £183/week 0%

1. £183 - £962/week 12%
2. Above £962/week 2%

Frequently asked questions (FAQs)

1. How long is this scheme available?

Ans. According to the information from HMRC, this temporary scheme will be in place up to 4 October, but it may be extended if necessary.

2. What should be the work duration on the payroll for applying furlough?

Ans. RTI submission about the salary of employees the last date is 19 March 2020. it can be made prior to 19 March 2020 also.

3. What is the minimum furlough period to apply for the grant?

Ans. Yes. you should be at least 3 weeks continuously on furlough.

4. What are the eligibility criteria for the furlough claim?

Ans.The situation where your firm is closed by the coronavirus. In this case, you can apply for the required wages from the UK govt. It is decided for employees to come back to work after 1 July. The employees need to be on furlough for consecutive 3weeks. Minimum 3 consecutive weeks on furlough should be completed by 30 June.

5. How much can I claim from HMRC scheme?

Ans. According to HMRC guidelines, the furlough payment is calculated when all other funds and policies are deducted. the rest amount's 80% is calculated. This calculated amount is called a furlough salary. regular wages: an employee's regular wages are £2,500.

6. Which categories of employees are eligible for a furlough grant?

Ans. If your employer flexibly furloughs you, they’ll need to agree on this with you and confirm the new furlough arrangement with you in writing. They’ll need to: make an agreement where everything should be clear like keep a written agreement for 5 years to keep records of how many hours you are working. keep records of how many hours you are not working.

7. Who decides the furlough claim period?

Ans. It is decided by you whether you get your pay monthly basis or on a weekly basis. the claim date should be the date when an employee stops working.