If the minimum wage hike impacts you, make sure your payroll systems are up to date.
- The adult minimum wage now stands at £23.15 per hour since 1st April.
- Starting-out and training minimum wage rates have also increased to £18.52 per hour.
Employers paying daily, weekly, fortnightly, or annual salaries must ensure employees receive at least the minimum wage based on their pay frequency. Overtime should be compensated at a minimum of £23.15 per hour.
Keep systematic records
Make sure to keep track of the hours you’ve worked, the wages you’ve paid, and all holiday and sick leave. Your records should be detailed enough to demonstrate compliance with things like the minimum wage. If you’ve got agreements with your employees on accommodation and other perks, be sure to get them down in writing. Your wage records also need to show the wages owed before any deductions for accommodation, goods, or services.
Managing costs
Cash flow is always on businesses’ minds, and recent changes might signal it’s time to revisit your cash flow plan and cost controls. When cash flow is under pressure, reevaluating your expenses can be beneficial. It’s not just about monitoring what goes out – it’s about assessing all aspects of your business to spot where inefficient systems may be causing unnecessary expenses.
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