With Covid-19 taking its toll on the global economy, more and more people are being faced with the difficult news around their job security, the government has introduced the Coronavirus Job Retention Scheme which provides support to employers to continue paying part of their employees’ salary for those employees that would otherwise have been laid off during this crisis.
In an attempt to help employees understand what being placed on furlough means for them financially and ultimately how much pay they are left with, we’ve created this Net Pay Calculator.
The calculator is also useful for anyone moving to or from short-time working or simply where your salary is changing from one amount to another.
How does it work?
You will need Microsoft Excel for this file to work.
Simply enter your original salary into cell B18 and then your new salary will be calculated at 80% in cell H18 along with your deductions and Monthly net pay along with the difference.
If your calculating for the Coronavirus Job Retention Scheme and your salary is more than £30,000 you will need to change H18 to £30,000 as the maximum payout from HMRC is £2,500 per month, however at the time of writing, it’s unclear whether that amount is net or gross or if it includes any other contributions.
If you need help finding your tax code the government have this handy page to help you: https://www.gov.uk/tax-codes
To download simply click the download button below.
Please Note, this document is intended as a guide only. You should seek professional advice before making any decisions. human. by Leighton is not responsible for any errors or omissions, or for the results obtained from the use of this calculator.