What you need to know about the Job Retention Bonus

Announced by the Chancellor in the summer statement, the Job Retention Bonus aims to reward employers who successfully bring back furloughed employees and keep them in meaningful employment after the Coronavirus Job Retention Scheme (CJRS) ends on 31 October 2020.

Employers will be able to claim a one-off payment of £1,000 for every eligible furloughed employee that meets the following criteria:

• The employee must remain in continuous employment through to the end of January 2021.
• The employee must have been paid an average of at least £520 in November, December and January, and a total of at least £1,560 across the three months.

Employers will be able to claim the bonus after they have filed their PAYE information for January 2021, and the bonus will be paid from February 2021. The government will release detailed guidance on how you can claim the bonus online by the end of September.

What should I do now?

It is important that you maintain detailed up to date employee records and accurately report employees’ details and wages on HRMC’s Full Payment Submission (FPS) through the Real Time Information (RTI) reporting system.

You’ll also need to ensure that your CJRS claims have all been accurately submitted – if you have claimed too much or too little, you need to let HMRC know as soon as possible.

If you have kept comprehensive records, you will be able to quickly provide the data to process your claim and receive your grant. If you submit a claim that is incomplete or incorrect then payment of your grant may be at risk or delayed.

Should you need support or assistance with your record keeping or submitting your claims, you can contact our EQ Accounting team on info@eqaccounting.co.uk or call 01382 312140.