Government to front 80% of wages up to £2500/month

[PerfectStorm]

Now would be a great time for the various contractor organisations to state clearly what limited co. directors can claim now - be it statutory sick pay, 80% of their (low) salary, loans, or something else

Anyone looked at taking payment holidays on mortgages etc? Even if not needed it helps stem the tide of your cashflow

[mrdonuts]

I think some are underestimating the effect of what is going on. This is going to be a more serious and significant life changing event than the 1929 recession. And probably given the fact that we no longer live in a strong cohesive society, mental problems are rife, suicide is probably going to a huge problem, rioting and civil disorder highly likely. Bank runs would not surprise me.

Yet all during this we have people worried about claiming something which is specifically to try and mitigate these life destroying events, give people some hope, and not burn this broken society down and hang those responsible.

The real questions you should be asking are, is this enough? Will employers pay the 20% to tick over, do they even have it? Will you be working this year, or next, or ever again? Will the money in your warchest (if you have it) be even worth anything after this? Will it be stolen to bail you in to some sort of rescue deal? Will there even be a pound after? How many companies will be gone when this is over?

Try and think about the big picture, rather than petty issues. I'm also sure that by Monday many contractor specialising accountants will have asked for official guidance.

where does it say they need topay 20%, thats optional

[GhostofTarbera]

Now would be a great time for the various contractor organisations to state clearly what limited co. directors can claim now - be it statutory sick pay, 80% of their (low) salary, loans, or something else

Anyone looked at taking payment holidays on mortgages etc? Even if not needed it helps stem the tide of your cashflow

What contractor organisations?


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[darmstadt]

Are you sure? I have a good friend in Walldorf and as we were chatting yesterday on Whatsapp regarding the situation he told me his local supermarkets are almost empty. My brother-in-law in Vienna reports a similar situation.
.

Basically everyone in Europe is planning to stay at home Sh1tting themselves whilst eating spaghetti napolitana

Don't take this the wrong way .. but I trust their opinion far more than I trust yours.

I take it he works for SAP then? Many German supermarkets are empty of certain items, primarily bog roll, pasta, tomato sauce and flour but are refilled daily, very much like the UK and other countries. this is also true of Bavaria which actually has the strictest opening hours for shops in Germany but these have now been relaxed although it has to be said, the panic buying there hasn't been quite as bad up until they brought in the lockdown, then they all went mental....

[Lost It]

Are you really self employed?

According to CEST, yes I am.

[Lost It]

I agree with you in general but do please push off... No one could of foreseen or been prepared for this tulip show....

My wife has just gone long term sick and I reckon I can survive until Oct (better than most in the country) but with 2 kids, mortgage, pcp payments etc and the chance of economic disaster beyond anything ever seen before - I couldn't of seen this tulip coming...

If you also have life insurance then you actually did see this coming. maybe not C19, but you insured against the worst tulip you could.
Just the same if the main breadwinner dies, the rest of the family has to manage somehow. I never saw cancer coming back either. And now I can't get life insurance.

[escapeUK]

where does it say they need topay 20%, thats optional

Government will pay 80% of what is paid someone up to £2500. So if someone is paid £1000, government will give you £800. So still a cost of £200 or 20% to the business.

The way I think its going to work, is company pays the £1000, then goes onto the HMRC website to claim £800 back. Its not like HMRC are giving people the 80% directly.

[Lost It]

But you've got reserves in the business. Like any business has. You claiming money off the gov when you've got 100's of K in the business makes you look like a complete

Oh I so wish I had. Then I wouldn't even be worrying about it...

[dhe]

Government will pay 80% of what is paid someone up to £2500. So if someone is paid £1000, government will give you £800. So still a cost of £200 or 20% to the business.

The way I think its going to work, is company pays the £1000, then goes onto the HMRC website to claim £800 back. Its not like HMRC are giving people the 80% directly.

COVID-19: guidance for employees - GOV.UK

Furloughed workers
If your employer cannot cover staff costs due to COVID-19, they may be able to access support to continue paying part of your wage, to avoid redundancies.

If your employer intends to access the Coronavirus Job Retention Scheme, they will discuss with you becoming classified as a furloughed worker. This would mean that you are kept on your employer’s payroll, rather than being laid off.

To qualify for this scheme, you should not undertake work for them while you are furloughed. This will allow your employer to claim a grant of up to 80% of your wage for all employment costs, up to a cap of £2,500 per month.

You will remain employed while furloughed. Your employer could choose to fund the differences between this payment and your salary, but does not have to.

[Lost It]

Yes, a business without income, like all others who are laying people off now and which won't hire contractors either.

This is affecting everyone now, if you want to compare this situation to how things were before this happened you sound the typical hypocrite that don't understand the bigger picture. I'm sure if you were younger you'll be partying around with your mates and not caring about the rest of society as a whole.

They create rules for a reason, if we cannot apply for it due to the conditions, then we'll have to decide what's best to do next but if we can and it's totally legal I don't see why we shouldn't if our conditions allow us.

Until you ask, you won't know.