Questions and Answers
National Minimum Wage Rate Changes
I’ve heard the national minimum wages figures are changing from April, what will they be?
By Catherine Heinen, FCCAFrom the 1st April 2024 the national minimum wage figures for all age categories are increasing.
The new rates are:
| Rate from April 2024 | Rate (April 2023 to March 2024) | Increase | |
|---|---|---|---|
| National Living Wage | £11.44 | £9.50 | 9.8% |
| 21-22 Year Old Rate | - | £10.18 | 12.38% |
| 18-20 Year Old Rate | £8.60 | £7.49 | 14.82%% |
| Under 18 Year Rate | £6.40 | £5.28 | 21.21% |
| Apprentice Rate | £6.40 | £5.28 | 21.21% |
The National Living Wage is now payable to workers aged 21 and over.
Apprentices aged under 19 or aged 19 or over in the first year of their apprenticeship are entitled to the apprentice rate. Apprentices aged 19 or over and have completed the first year of their apprenticeship are entitled to the minimum wage for their age.
The new rate will apply to the next pay reference period that begins on or after the date:
- a rate increase begins
- an employee reaches a new age bracket
For example:
An employee paid on the 27th of each month for a pay period of 28th March to 27th April will start to receive the new rate of minimum wage from 28th April 2024 onwards as this is the start of the first full pay reference period beginning after the increase.
The employee will therefore not see the increase in their wages until the pay date of 27th May 2024.
If you would like any advice or assistance with payroll or other employer obligations, please contact us on 01292 619933 or use our simple online contact form to arrange a free initial consultation.
Date published 28 Mar 2022 | Last updated 16 Apr 2024
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.
Catherine Heinen, FCCA
Catherine is a Technical Content Writer at TaxAssist Accountants, and a qualified accountant. With experience working at two accountancy practices in the UK top 50 accountancy firms according to Accountancy Age, Catherine has significant experience in accounts, tax returns and advising clients. Catherine ensures businesses, business owners and individuals are kept up to date and informed by providing concise and informative technical material.
Choose the right accounting firm for you
Running your own business can be challenging so why not let TaxAssist Accountants manage your tax, accounting, bookkeeping and payroll needs? If you are not receiving the service you deserve from your accountant, then perhaps it’s time to make the switch?
Local business focus
We specialise in supporting independent businesses and work with 100,000 clients. Each TaxAssist Accountant runs their own business, and are passionate about supporting you.
Come and meet us
We enjoy talking to business owners and self-employed professionals who are looking to get the most out of their accountant. You can visit us at any of our 409 locations, meet with us online through video call software, or talk to us by telephone.
Switching is simple
Changing accountants is easier than you might think. There are no tax implications and you can switch at any time in the year and our team will guide you through the process for a smooth transition.