SMP

[MoaningMyrtle96]

Posting for traffic here.

We are due in 2020 and trying to work our finances.
How much did you get whilst on maternity leave? I have just read that after the standard SMP they'll also deduct tax and national insurance too. And what happens if you take a full year, you're not given anything at all for the remaining 2 months?

I completely understand having a child is your own decision but why is SMP so low? Most families have both parents working prior to birth to have enough income and then when one is off work to care for the baby you then get a measly £148 a week!

@popcorndiva so my argument would be why don't employers help more? I am not asking for anyone's tax bill to be increased, Jesus.

Usually the companies that only pay SMP are male dominated. The better maternity pay was the reason I went to work in the public sector. I did this year's before trying. I saw to research it as important to look at other benefits offered but many only research their companies policy after getting pregnant

@popcorndiva I've been with the same company since I was 20 so unfortunately that was the last thing on my mind to have a look at when starting. Such a shame! I will definitely keep it in mind for the future.

@MoaningMyrtle96. SMP is reclaimed. As regards why don’t employers help more what would you like them to do? Many are small businesses who can’t afford to pay more

I think it mirrors the typical attitudes that stay at home mum's in particular don't deserve fair recompense. It is massively undervalued to raise your own children and this shows it. It often is the mother who stays at home and it widens the gap between women and men. The men still have all the money and sometimes power. I have read, and I know in person including my former relationship of many men belittling the women who end up on less pay after they've had kids and still make them contribute "equally" to the pot. Or worse, the woman ends up paying for herself and the children including childcare out of her diminished income and the man still has his own money just for fun. I think in a way it helps to perpetuate this dynamic. Then women find themselves in the negative and end up not working.

@Chloemol do you ever give in? For the millionth time, I am expressing my frustration that SMP is low. I am not asking the country to change their ways on SMP. I cannot provide a solution either. I am venting. Nothing you have commented has contributed in any way. Please go away!

I started a new job in jan and baby due July so didn't qualify for the company maternity package but did get SMP and to be fair, I'm really pleased with almost £600 a month- it's plenty. I basically give my husband £300 (towards all things baby ie food/clothes etc and I keep £300 and have managed to save it.

You don't really tend to spend much on mat leave so I think it is definitely doable.

I'm into my 6th month on SMP and it's really not that bad. We had several thousand saved for a baby but then had to spend the whole lot on legal fees so we started with nothing. We just cut down on everything we could and got rid of what we didn't need. We don't eat out much at all now and I don't pay to travel to work. Also breastfeeding has saved us loads but I realise that isn't always possible. Many of DD's baby toys are second hand as she won't use them for long. All the little savings add up.

I don't think it's too bad especially compared to the US but then I am used to a lowish income.

@cravingmilkshake @transformandriseup thank you both for this, this is really helpful! I think my fear was as our outgoings are quite high as we have newly moved into a bigger house and I bought a car not long ago. I've always said I will breastfeed as long as possible to save on formula. I will start getting into the habit of what the future earnings will be to get us ready

@MoaningMyrtle96 you'll be fine. We are in a similar situation where my husband earns over £100k . I just consider myself extremely lucky to have the additional £600.

Good luck and don't worry!!

@cravingmilkshake that gives me some reassurance, thank you very much. We have enough savings so I can still have some independence and also to cover my side of the bills too but it's always good to hear other people's stories!

I think closer to the time we'd work out if it's worth going back full time or not.

Remember to factor in student loan repayments if relevant. I know a few people who have been better off working p/t because it kept them below the threshold for loan repayments. My mate would have been no better off working f/t than she was doing 3 days pw, because the extra income would have been swallowed by childcare, tax, NI and student loan repayments.

@LakieLady thank you for this, I'm fortunate that I no longer have a student loan!

It is crap - we aren’t a society thAt supports families or mothers.
I think it should be a percentage of your salary as I feel the middle are squeezed the most. It’s all very well saying to save - which most do but going down to smp is hard and even if your partner earns a good salary - you had a joint income and no doubt pension based on this!!!
Surely we want these people to reproduce and support the system?
To all the moaners - If people didn’t have babies who would pay the pensions? Who will be caring and treating you in your old age???

Your company should be able to advise what you will get - if you have a workplace pension you and your employer will continue to contribute - you at a % of smp and then at your previous earnings which is good.

*Mortgage not pension based on your joint income!

It's very frustrating yes! I wasn't taxed on SMP and I did take a year so had 2 months of no pay sadly

@KittyMcTitty @GunpowderGelatine thank you both for understanding.

We live comfortably now I'd say but reducing my salary down 70% means we will feel it no matter what he earns. Unfortunately my company haven't been informative in advising about pay whilst I'm off hence why its google, family advice and Mumsnet for help. I know the handbook states we get bugger all, just the standard SMP!

OP my work, which employed thousands of people, didn't have a clue either. Why workplaces don't better support expectant mothers I'll never know.

Don’t be afraid to ask what you will get - mine varied each month whether it was a 4 or 5 week month and it would have been helpful to know that! You have enough stress with a new baby without money being another one!

@KittyMcTitty are they supposed to provide you with a pay breakdown?

Worth noting that although Sweden does have good maternity pay their taxation is high to pay for this amongst other benefits, I believe it's up to 60% of wages.

Are you married? If so do you know about the tax allowance for married couples? I am not sure how it works with maternity pay but might be worth looking into.

I don’t know if they have to but they certainly can - it can’t hurt to ask - it’s not unreasonable to want to mange your money. I was very marginally overpaid at the beginning but didn’t know so ended up owing money which could have so easily been avoided if I knew what to expect!

I think it's a decent amount and was grateful for it. I had to live on it after having both my dcs. They get nothing is the US I think we are very lucky. But it is the reason I went back after 9 months with both of them.

@keo8260 no we are not, yet.

@KittyMcTitty I don't know how they'd work the 90% bit as although I have a salary I have monthly bonuses which vary. They sure don't make it easy!

@mummyrocks1 I could really vent about the US but I shall not, ha. I am grateful for SMP but I will always express frustration of how low it is as some people will really struggle.