Employers with queries about the national minimum wage system should find the answers here.
There is a national minimum wage calculator here.
You may also have heard about the national living wage, which comes into effect from April, 2016. It introduces a rate of £7.20 an hour for workers aged 25 and older – the national minimum wage will still apply for workers aged 24 and under.
It is the start of a process announced by the Chancellor, George Osborne, in his Summer 2015 Budget. The intention is that by 2020 the National Living Wage will be more than £9 an hour.
In an effort to minimise the impact on employers, from April 2016, the National Insurance contributions (NICs) Employment Allowance will rise from £2,000 to £3,000 a year. When introduced in 2014, the Employment Allowance offset the NICs costs of employing four workers full time on the NMW. The increase in the Employment Allowance means four workers can be employed full time on the new NLW next year without paying any NICs.