NIM09310 - Earnings Periods: Statutory Payments: Lump sum payments
Section 4(1) of the Social Security Contributions and Benefits Act 1992 (SSCBA 1992)
If the employer makes a lump sum payment of any Statutory Payment, such as:
- Statutory Sick Pay (SSP),
- Statutory Maternity Pay (SMP),
- Statutory Paternity Pay (SPP),
- Statutory Adoption Pay (SAP)
- Shared Parental Pay (ShPP) or
- Statutory Parental Bereavement Pay (SPBP)
to an employee and the employee’s employment has:
- not ended, treat the lump sum payment as part of the pay in the earnings period in which the employer pays it and calculate the NICs on the total amount; or
- ended and regular payments have stopped, the earnings period is a week