Earnings thresholds and staging dates

Our staging date is 1st April 2015. Do we use the 2014/15 or 2015/16 earnings thresholds to complete the assessment of our workers?

1st October 2015

If changes are made to earnings thresholds, they’ll take effect from 6th April each year. You should use the thresholds in place on your assessment date for the period which you’re assessing.

In the case of an employer that stages on 1st April 2015, the 1st April 2015 will be their assessment date for staff in post on the staging date and they should use 2014/15 earnings thresholds to assess their staff.

In an example where an employer stages on 1st April 2015 and has a new member of staff that begins employment that month but after 5th April 2015, they should use the 2015/16 earnings thresholds to assess that member of staff. This is because that member of staff’s assessment date is in the 2015/16 tax year.

By Jo Nockels

Disclaimer: The information provided is based on current guidance (at date of publication) from HMRC and may be subject to change. Any advice shared here is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this information, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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