PayFit unveils COVID-19 updates, to enable businesses to calculate Furlough and Sick Pay
PayFit, one of the fastest-growing tech companies in Europe, has updated its HR and payroll software to accommodate initiatives introduced as part of the UK government’s Coronavirus Job Retention Scheme.
PayFit is an enterprise SaaS (Software as a Service) company that provides integrated and HR management software products. The company has updated its suite of payroll products to include functionality that enables UK businesses to quickly calculate Statutory Sick Pay (SSP), and furloughed leave, and immediately understand how much money they can reclaim from HMRC.
Nick Miller, UK Managing Director of PayFit, comments, “Since the UK government introduced the Coronavirus Job Retention Scheme, businesses have been forced to move quickly to introduce measures to help see them through this unprecedented and difficult time, such as employee furlough schemes. At PayFit, we want to do everything we can to ensure that growing businesses have all of the tools they need to survive, and even perhaps thrive, during the COVID-19 pandemic. Of course, we want to help businesses that may not be using PayFit yet, which is why we’ve made our Furlough Calculator free to use for any business that needs it.
The updates enable PayFit users to submit all COVID-19 related leave and employees that have been furloughed, and generate a report which calculates how much money the company can reclaim from HMRC.
The new report section will give an overall monthly and yearly view of the costs for COVID-19 related leave and furloughs. The report also shows the overall pay, as well as the reclaimable amounts.
For companies that do not use their products, PayFit has also released a Furlough Calculator, which can be downloaded for free here.
The overview of Payfit’s SSP and Furlough functionality are below, and on PayFit’s website.
Statutory Sick Pay: COVID-19
Under the new Bill, employees are entitled to claim SSP from their first day off work for all coronavirus-related absences, including: individuals who are unable to work because they have been advised to self-isolate; and those caring for those within the same household who display symptoms of coronavirus and have been told to self-isolate.
The COVID-19 Bill also states that employers with fewer than 250 employees on the date of February 28th, 2020 will be able to claim 100% rebate on coronavirus-related SSP for up to two weeks. The terms outlined in the COVID-19 Bill are a temporary measure and are due to expire on November 12th, 2020. Find out more about SSP
PayFit users can now enter coronavirus-related leave on the app to record sickness or self-isolation absences and receive correct statutory pay in alignment with the latest legislation.
Furlough Pay: COVID-19
The Government’s Coronavirus Job Retention Scheme has been designed to support employers whose operations have been severely impacted by the coronavirus crisis. Under the Scheme, employers will be able to keep employees on the payroll and keep their contract of employment in place for a period of at least four months, backdated to March 1st, 2020.
Employers will be able to claim up to 80% of furloughed employees’ usual monthly wage costs, up to the value of £2,500 per month, as well as Employer National Insurance contributions (NICs) and minimum automatic enrolment employer pension contributions on the wage. Claims will be able to be made from April 20th and the service will be a self-serve portal that will be equipped with guidance for employers on how to make a claim.
PayFit has updated its app to help customers with any employee furloughs they may choose to implement within their organisation. There is also advice and support regarding what can and cannot be done within the app. The furlough calculation is done automatically within the app; however, it can be amended by adding or subtracting bonuses or overwriting the average pay. The reclaimable employer contributions are also automatically calculated for NICs and pensions.
Annual leave can be added during a period of furloughed leave, meaning employees would get paid the same for annual leave, but the reclaimable amount would remain the same as if the furloughed leave was ongoing.
Finally, a report section on the app displays all pay related to furloughed leave, as well as the reclaimable amounts.