Class 2 NIC and maternity allowance

[NamechangeTTC]

Hoping this is the right place to ask.

Currently applying for maternity allowance as I changed jobs (nhs) whilst pregnant. The change of trusts means I don’t qualify for statutory maternity pay so have to apply for maternity allowance.

I keep seeing class 2 NIC linked to maternity allowance. I was self employed during my qualifying period, along side full time employment. I’ve paid class 1 through PAYE since I was 16 and I continual full time employment for 11 years. I’ve changed jobs but never had a break in service.

I’ve never paid class 2. Is this going to stop me getting maternity allowance now? I’ve never earned the amount to need to pay (around £6k profit) so I never did. I was always paying via PAYE for my employment.

Will the contribution for employment be enough? Of note, in my self employed qualifying period I earned £0 due to coronavirus.

Argh!

Don’t worry about class 2 if you have paid NI via PAYE as you will be eligible.

If your NHS employment was continuous you may still be eligible for SMP, I think technically it is still one employer. If you move Civil Service departments your employment is treated as continuous for SMP.

Contact HMRC and check if it is treated as continuous employment. Also make sure someone senior within HR /payroll is asked to check this as it is a technical aspect generalists are not always aware of. They could check with DHSC as they have oversight.

If you haven’t paid enough class 2 you can call up and make a voluntary payment. Can’t remember how much now but it wasn’t much and meant I was entitled to full maternity allowance.

I hadn't paid mine when I was SE and pregnant so I called them and paid what they told me I needed to, I think it was about £300 - this was over 10 years ago though so may be different

Sounds like you should be entitled to MA no problems. I'd been working a much shorter time when I was in a similar position with my first. Continuity with the NHS should mean you still get the enhanced maternity pay, it is just the bit that would have been SMP is paid as MA instead.

Not the question you asked but have you asked HR to take into account your continuous service for the NHS? Switching trusts shouldn't necessarily matter

Hi all. Thanks for the replies

Yes numerous calls to HR- they count the employment as continuous for occupational maternity pay (enhancement) and for sick leave etc but they count it as separate employers for statutory as I have different employing trusts. Frustrating as it doesn’t make that clear in the policy!

I called the MA helpline to see if they counted me as self employed in my qualifying weeks. My private work was in sport so the entire qualifying period was under covid restrictions and I earned £0. Hmrc have already removed my need to do a self assessment. The lovely lady on the phone said just leave that section if you had no earnings, as I didn’t need it for income proof.

Have learned now that I should keep my payslips (never bother) as I had to send 13weeks of highest pay but also show 26 weeks of employment. I found 8 monthly payslips so hoping that works!

Not what I was hoping for when preparing for a baby- hoped it would all be smooth sailing!

I think the MA vs SMP arises from the nature of the employment contracts and is unavoidable under HMRC rules.

Hi @namechangeTTC sorry I know this is a few weeks old but I think it's worth phoning your union or NHS employers, I'd be surprised if your work place is correct about continuous service. For doctors any NHS trust counts. I am a teacher and I had exactly the same problem, I had moved areas and even the head HR person for the local authority told me I couldn't claim SMP. I had to phone my union to correct them.