The UK minimum wage increases by 19p per hour on 1st October 2014, for all workers aged 21 and over.
Rates for people under 21, and apprentices also increase by a few pence per hour.
Getting it right
| Year | 21 and over | 18 to 20 | Under 18 | Apprentice* |
|---|---|---|---|---|
| 2014 (from 1 October) | £6.50 | £5.13 | £3.79 | £2.73 |
| 2013 (current rate) | £6.31 | £5.03 | £3.72 | £2.68 |
*This rate is for apprentices aged 16 to 18 and those aged 19 or over who are in their first year. All other apprentices are entitled to the National Minimum Wage for their age.
The minimum wage applies to most workers over 16 years of age, in the UK, It does not apply to self-employed people, company directors, volunteers, workers younger than school leaving age and a few others.
Making mistakes
Employers who discover they’ve paid a worker below the minimum wage must pay any arrears immediately. There will also be a penalty and offenders might be named by the government.
HM Revenue and Customs (HMRC) officers have the right to carry out checks at any time and ask to see payment records. They can also investigate employers, following a worker’s complaint to them.
Employer’s must keep records proving that they are paying the minimum wage. Most employers use their payroll records as proof. All records have to be kept for 3 years.
The minimum wage is not just for staff paid hourly. You need to make sure that salaried staff, whose pay may be calculated on a weekly, monthly or annual basis are also being paid within the minimum wage regulations.
More information can be found at www.gov.uk or you can contact us to ask a question.