How do I deal with shared parental leave?
Contents
Summary
The following article explains how to enter and keep track of an employee's shared parental leave.
 | If you are unsure whether to pay Statutory Pay, please refer to the information provided by HMRC explaining the rules governing statutory pay or visit the HMRC web site [1]. |
More Information
To allow the Payroll to calculate ShPP where applicable, the "SMP/SAP/SPP" flag on Page 3: Statutory Payments of the employee record, should be set to 'Yes'.
Go to " Payroll Run Payroll Period".
 | When the system starts to pay Statutory Pay, you will have to zero out the "Hours Worked/Basic Salary" to ensure they only receive their Statutory Pay and any other additions/deductions from their pay. |
Go to " Payroll Run Payroll Period".
- Enter <Y> against the employee's pay frequency or click the [Down arrow] and select [Yes].
- Click [OK] button to go into the payroll.
- Choose the relevant employee and press <Ctrl+F8> to open the SMP/SAP/SPP/ASPP/ShPP Entry screen.
- Click [Add] if they have existing records.
- Choose [Additional/Shared].
Within this [Details] tab, you will need to complete the relevant details for this record:
Date Baby Due
Enter the date the baby is due. The employee must have worked for you for at least 26 weeks by the end of the 15th week before the baby is due. If the Payroll system warns you the employee has "NOT been employed for 26 Weeks" then it has calculated the number of weeks since the employee started and has worked out that they have not worked for you for long enough to qualify for Statutory Pay.
Qualifying Week
This will be calculated for you by the system. This date is 15 weeks before the date the baby is due. When you enter the average weekly earnings, this date will be used as a point of reference.
Average Weekly Earnings
Enter the employee's average weekly wage based on their pay over the 8 weeks previous to the Qualifying Week. This will be calculated for you but you may override it if necessary.
Date Baby Born
ONLY enter this date if the baby is born BEFORE the employee was intending to start their Leave.
The Pay Period will usually begin on the first Sunday on or after this date, unless Leave is starting earlier than expected because the baby has been born early. This should be the first FULL day of absence from work.
Completing the Statutory Pay Entry
Complete the [Shared Parental extra details section] with the details supplied for the mother's/adopter's SMP, MA or SAP details.
When you have entered all the relevant details for the Statutory Pay record, the ShPP Entitlement section will display the Statutory Pay Period and the amounts to be paid over this period.
Press <Esc> and <Enter> to accept the record.
View the Diary
When a record has been created, you may view a weekly diary which shows the amount of Statutory Pay to be paid per week.
To view the details:
Go to " Payroll Run Payroll Period".
- Enter <Y> against the employee's pay frequency or click the [Down arrow] and select [Yes].
- Click [OK] button to go into the payroll.
- Choose the relevant employee and press <Ctrl+F8> to open the SMP/SAP/SPP/ASPP/ShPP Entry screen.
- Press [Edit] to open the relevant record.
- Click on the [Diary] tab.
Week
This column lists the number of weeks of Statutory Pay.
End of PPP
This displays the week end date.
Status
This column allows you to designate a week to be unpaid/excluded from Statutory Pay, if it has not already been paid.
- Select 'Worked' if an employee is not to be paid ShPP for that week as they will have worked one or more days in this week and none or only some of them were KIT (Keeping in Touch) days.
- Select 'Excluded' if the employee is excluded from a Statutory Pay Period for some other reason.
- 'ShPP' - If these letters are shown, the Statutory pay has been paid and the relevant pay period has been closed.
ShPP Paid
This column shows the amount of Statutory Pay which is paid during each Statutory Pay period.
Total
This column shows a running total of ShPP paid to the employee.
Notes
If the period has not been closed, you can enter any notes here to indicate why you have withheld ShPP.
Press <Esc> to exit the ShPP Diary.
See also
- How do I run a payroll period?
- How do I edit an existing paternity pay entry?
- How do I remove a paternity pay entry?
- How do I add adoption pay?
- How do I add maternity pay?
