Do my staff receive pension contributions? All your staff who are employed on a contract of more than three months will be enrolled into the MPs’ Staff Pension Scheme. The staff member does not have to contribute, but we will on your behalf make a contribution worth 10% of the employee’s salary into the Scheme. We administer the Scheme on your behalf and will use it to meet your legal duties under the new pensions automatic enrolment legislation. 2015/16 Staffing Budget: London Area MPs Non-London Area MPs £147,000 per annum £140,000 per annum *New MPs will receive 11 months of each budget Please visit our website http://generalelection.parliamentarystandards.org.uk Employing staff Useful contacts: IPSA information line – 020 7811 6400 E-mail – info@parliamentarystandards.org.uk Twitter - @IPSAUK Members’ HR Advice Service Telephone – 020 7219 2080 E-mail – MembersHR@parliament.uk A quick guide: what your responsibilities are and how we can support you Personal tax and National Insurance queries HM Revenue and Customs (HMRC) Public Department 1 (PD1) is the office that deals with all MPs' personal tax and National Insurance contributions. You can contact PD1 with your personal tax queries on: 03000 581 588/03000 581 589. HMRC also provide a 'Tax and National Insurance Contributions Guide for MPS and Ministers.' For general information queries and other HMRC publications please contact: communications.corporate@hmrc.gsi.gov.uk This is not a comprehensive statement of the rules and has no status other than an explanatory one. Full details on the Accommodation budget can be found in the current edition of MPs’ Scheme of Business Costs and Expenses. Am I responsible for employing staff? As an MP you are responsible for employing the staff you require to assist you with your Parliamentary functions. It is your choice which job roles you have within your team and how many people you decide to employ. IPSA provides you with a Staffing budget to meet the costs of employing staff. The Staffing budget is capped, which means you cannot spend over this, so it is your responsibility to manage your budget. HR advice is provided by the Members’ HR Advice Service. A full list of the costs that the Staffing budget can be used to meet is in chapter seven of the MPs’ Scheme of Business Costs and Expenses. You are able to employ one “connected party”, e.g. a spouse or other relative, and this will be published on our website. What is IPSA’s role in the employment of my staff? We have a number of roles in supporting you to employ your staff, which include; Model template contracts – we provide template contracts on our website for you to complete. Job descriptions – we provide an online tool for you to create a job description for each member of your staff. Paying agent – we administer and pay your staff their salary and pension contributions. Please note: staff salaries, staff pensions and employer National Insurance contributions come from the Staffing budget. For HR advice, please speak to the Members’ HR Advice Service (contact details overleaf). What type of contract should I use? Permanent contract – probably the most common choice. You employ an individual on this contract type if you believe the job role is business as usual and not for a limited period. Fixed-term contact – this contract type is useful if you have a specific project which is going to last a fixed period of time or you need somebody to cover a period of absence from another employee i.e. maternity/adoption leave. Once an employee on a fixed term contract has two years’ service they have the same rights as a permanent employee. Once they have four years’ service, they are legally deemed to be permanent employees. Casual contracts – these contracts may be appropriate if you require somebody to cover for a very short period of time. Pooled research services Some political parties have associated organisations which offer pooled research services to their MPs. The cost of this service can be claimed from the staffing or office budget. Can I use interns, volunteers or trainees? Yes. If you are employing interns under a casual or fixed term contract they must be paid at least the National Minimum Wage. Volunteers can claim for travel and subsistence expenses only. You must register them online and complete a volunteer arrangement form for each person. You can find further guidance at www.hmrc.gov.uk/paye/payroll/day-to-day/nmw.htm Are my staff members employees or self-employed? Ultimately, the answer depends on the precise terms on which you engage the person. It does not follow, for example, that you can treat a person as self-employed simply because you decide to describe their engagement in that way. It is crucial that if you are deeming somebody to be self-employed that they truly are as per the HMRC guidelines (please see link below). Both you and the individual also need to be clear on the pros and cons of being self-employed. For further information please visit the HMRC website at www.hmrc.gov.uk/calcs/esi.htm. What are my tax responsibilities? As an employer, you are responsible for ensuring your staff are paying the right statutory payments. IPSA as the paying agent will administer this for your staff on our payroll. Please ensure that you regularly check your online ‘Staff Budget’ report to ensure that you agree with the payments being made. How do I put my staff on the payroll? For each new member of staff, you must provide us with the following; a signed original contract (sample contracts for permanent, fixed-term and casual appointments are provided on our website); employee new starter form; job description; and an up to date original P45 or a completed HMRC New Starter Checklist. The contracts, new starter form and job descriptions can be found on our website www.parliamentarystandards.org.uk
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