1. What is HMRC Statutory Paternity Pay?

Statutory Paternity Pay (SPP) is a payment from the UK government to eligible employees who take time off work to care for a new baby or support the mother. It's paid by employers who can then reclaim the amount from the government.

2. How Does the Calculator Work?

The calculator uses the HMRC SPP formula:

Where:

• \( SPP \) — Statutory Paternity Pay (GBP/week)
• \( AWE \) — Average Weekly Earnings (GBP/week)
• 187.18 — Maximum SPP rate (2023/2024 tax year)
• 0.9 — Percentage of earnings paid as SPP

Explanation: Employees receive 90% of their average weekly earnings, up to a maximum of £187.18 per week.

3. Eligibility Criteria

Details: To qualify for SPP, you must be an employee earning at least £123 per week (2023/2024), have been continuously employed for at least 26 weeks by the 15th week before the baby is due, and be taking time off to care for the child or support the mother.

4. Using the Calculator

Tips: Enter your average weekly earnings in GBP. The calculator will determine your statutory paternity pay amount based on HMRC regulations.

5. Frequently Asked Questions (FAQ)

Q1: How long can I receive SPP?
A: You can receive SPP for either 1 or 2 consecutive weeks. This must be taken within 56 days of the birth.

Q2: When should I notify my employer?
A: You must tell your employer by the 15th week before the baby is due that you want to take paternity leave and receive SPP.

Q3: Is SPP taxable?
A: Yes, SPP is subject to income tax and National Insurance contributions like regular pay.

Q4: What if I have multiple jobs?
A: You may be able to claim SPP from each employer if you meet the eligibility criteria for each job.

Q5: How is average weekly earnings calculated?
A: AWE is typically calculated based on your earnings in the 8 weeks leading up to the 15th week before the baby is due.