Earnings thresholds and staging dates

If changes are made to earnings thresholds, they’ll take effect from 6^th April each year. You should use the thresholds in place on your assessment date for the period which you’re assessing.

In the case of an employer that stages on 1^st April 2015, the 1^st April 2015 will be their assessment date for staff in post on the staging date and they should use 2014/15 earnings thresholds to assess their staff.

In an example where an employer stages on 1^st April 2015 and has a new member of staff that begins employment that month but after 5^th April 2015, they should use the 2015/16 earnings thresholds to assess that member of staff. This is because that member of staff’s assessment date is in the 2015/16 tax year.

Date published 12 Oct 2015

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.