CJRS: September Furlough Changes
How will it affect your business?
Posted by Roger Eddowes on 07/09/2020 @ 8:00AM
Businesses across the UK are expecting major changes to the Coronavirus Job Retention Scheme (CJRS) this month, but at the same time, we're all unsure how they will impact us ...
CJRS ends in October, but changes are coming in September too!
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So, what are the changes to CJRS that are coming? And how much will you be able to claim from the Government? And what about changes in October? When will it end?
For a lot of employers, the easing of lockdown in August meant the start of post-coronavirus recovery. But with the changes coming, this means that recovery may come in fits and starts, or may even stall depending on your sector.
"CJRS was created to support employers not capable of operating as normal due the pandemic!"
It came into effect on the 20th March 2020 and has helped 1.16 million employers furlough some, or maybe all, of their employees. It paid 80% of an employees wage, capped at £2,500 per employee, per month.
In August, employers had to start to pay the employees National Insurance contributions as well as the employer's pension contributions. From September, the Government will only contribute 70% of a furloughed employee's wage with a decreased cap of £2,187.50. This reduces further the following month.
"The CJRS scheme ends in October!"
So, be sure you do your calculations and claims correctly and ensure your furloughed employees receive the right amounts and that you make the right contibutions according to the Government's CJRS guidelines.
Until next time ...
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more, it may be a great idea to give me a call on 01908 774320 and let's see how I can help you.
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About Roger Eddowes ...
Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
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