ACT offers guidance on COVID-19 Job Retention Scheme

The ACT is offering guidance to IBDs regarding the COVID-19 Job Retention Scheme. The new scheme, launched this week, applies to those who have put their employees on furlough as a result of the outbreak.

Before you make a claim
Before you apply you need to check that both you and your furloughed employee are eligible to use the scheme and work out how much you can claim using the Coronavirus Job Retention Scheme calculator. In addition to this, you should also read all the available guidance on gov.uk before you apply.

The Government’s step-by-step guide outlines 5 steps to follow:
• Step 1: Essential information
• Step 2: Before you make your claim
• Step 3: Calculating your claim
• Step 4: Making a claim
• Step 5: What to do next

Coronavirus Job Retention Scheme calculator
Before you apply, use this calculator to work out the figures you’ll need when you complete an online claim through the scheme. It’s aimed at organisations with a small number of employees.

At the moment, it will work for most employees who are paid the same amount each pay period (for example, weekly or monthly). The calculator will work out the amounts you need to enter in the claim form. These are:

• gross amount paid to a furloughed employee
• employer National Insurance contributions
• employer minimum auto-enrolment pension costs

It will also give you a breakdown of the calculations for each pay period. The figures are for one employee, for the claim period you specify. Run the calculator again for any other employees you’re claiming for and add up the results.

After you’ve made a claim
• keep a note or a print-out of your claim reference number – you won’t receive a confirmation SMS or email
• retain all records and calculations for your claims, in case we need to contact you about them
• expect to receive the funds six working days after you apply, provided your claim matches records that we hold for your PAYE scheme – please do not contact us before this time
• to receive payment by 30 April, you will need to complete an application by 22nd April

ACT Furlough Letter Template
The ACT have produced a free-to-download template for employers to use to confirm that there is an agreement to temporarily furlough a worker or employee. The letter can be downloaded from the ACT website here.

How to claim
You’ll need the Government Gateway user ID and password you got when you registered for PAYE online. Begin claim here.