Maternity Pay Tax

[babybum]

Hi all,

My employer has agreed that they will pay me full pay for the first 6 weeks of maternity, but then after that, they will pay me £325.00 a week, rather than the £184.00 SMP pay. So they rounded the amount up to £1300 a month.

Could anyone please explain to me how the tax works, will I be taxed on the £1300 (so take home is lower) or will they have worked this out after tax.

Thank you

You pay tax on earnings above your personal allowance during the tax year.

That is worked out by HMRC not by your employer.

This.

I’d assume the figure your employer has said is pre tax/NI/pension. So take home will be lower.