• Skip to primary navigation
  • Skip to main content
  • Skip to footer

Top notice bar

Call us on 08000 388799

Avanti Tax Accountants HomepageAvanti Tax Accountants

Bookkeeping, Accountancy and Taxation services

  • Home
  • About Us
  • Our Services
    • Bookkeeping & Accountancy
    • Corporation & Personal Tax
    • Payroll & CIS
    • Company Secretarial Bureau
    • Budgeting, Forecasting & Business Valuations
    • Mentoring & Business Coaching
    • Software & Training
  • Our Accountants
  • News & Insights
  • Send An Enquiry
Home » News & Insights » The Job Retention Bonus Scheme For Employers

The Job Retention Bonus Scheme For Employers

Posted on 21st August 2020

Following Rishi Sunak’s announcements in July which outlined the Governments plan for economic recovery in the UK, guidance has now been released on the anticipated Coronavirus Job Retention Bonus.

Scheme Overview

In a nutshell, the Job Retention Bonus is a one-off payment of £1,000 for each employee retained following furlough.
• The employee must be continuously employed through to 31st January 2021.
• Eligible employees must earn a minimum average £520.00 per month between 1st November 2020 and 31st January 2021.
o Note: ONLY earnings recorded through the RTI reporting system count towards this average figure – further guidance to follow.
• Employers can claim the bonus following their January payroll submissions.
• The bonus payment will subsequently be paid to employers from February 2021.

Scheme Eligibility

All employers are eligible for the scheme providing that a genuine furlough scheme claim was made, incorrect claims will not be eligible for the Job Retention Bonus.

To be eligible for the bonus employers should ensure;

• PAYE enrolment is maintained
• PAYE submission obligations using Real Time Information (RTI) reporting are met
• They hold a UK bank account
• Payroll records must be kept up to date and any requests for further information or employee data from HMRC are complied with.

Which Employees Can You Claim For?

The following are examples of the employees you may claim for under the scheme;

• Employees who were furloughed and had a CJRS claim submitted that meets all criteria.
• Employees who have up to date RTI records up to the 31st January.
• Employees who have been in continuous employment from the most recent furlough claim to the end of January 2021.
• Employees who are not serving a contractual or statutory notice period, that precedes the 1st February 2021.
• Employees who returned from parental leave after 10th June 2020 and were claimed for under the furlough scheme.
• Employees on fixed term contracts who were claimed for under the furlough scheme – contracts can be extended or renewed without affecting bonus eligibility as log as the employee has been continuously employed.
• Employees who have been transferred under TUPE. To be eligible, the transferred employees must have been furloughed and the scheme claimed by the new employer. An employer may not be eligible for the bonus scheme for any employees transferred under TUPE or the business succession rules after the 31st October 2020.
Employers are warned that where HMRC suspect there to be fraudulent or exaggerated claims, they will withhold the bonus payment while they investigate the furlough claim.

When And How Can Employers Claim

Employers will be able to make a claim through the Government website GOV.UK from February 2021, so far guidance on how to do so has not been published and is expected during September 2020.

MJB Avanti will bring you further updates as soon as they are available, and as with previous furlough matters, we will be on hand to assist clients with their bonus scheme claims.

Share this post:

Share on TwitterShare on FacebookShare on LinkedInShare on E-mail

Filed Under: Exclusive News

Disclaimer:- The information contained herein is given by way of general guidance only and no action should be taken solely on the basis of the information contained herein. The Avanti Group (UK) Ltd will be pleased to provide further guidance on the issues, and how they might affect you. No liability is accepted by the firm for any action taken without seeking appropriate professional advice

Footer

Navigate

  • Find An Accountant
  • About Us
  • News & Insights
  • Privacy Policy
  • Letter Of Engagement

Our Services

  • Software & Training
  • Mentoring & Business Coaching
  • Budgeting, Forecasting & Business Valuations
  • Company Secretarial Bureau
  • Payroll & CIS
  • Corporation & Personal Tax
  • Bookkeeping & Accountancy

Get In Touch

Tel: 08000 388799
Send us an enquiry

  • Facebook
  • Instagram
  • Twitter
Copyright © 2023 Avanti Tax Accountants · All Rights Reserved
Part of The Maurice J Bushell & Co Ltd Franchise (UK) Ltd · Company Reg: 10407313 and The Avanti Group (UK) Ltd · Company Reg: 04635630 · Created by Purple Hippo
  • So we can contact you to discuss your enquiry
  • So a member of our team from your area can contact you
  • By clicking ‘Send Enquiry’ you agree to receive contact from Avanti Tax Accountants using the details given above. We respect your personal information and your privacy and will not share or sell your information to other organisations. Please read our Privacy Policy for more information.
  • This field is for validation purposes and should be left unchanged.