The taxman has issued a fresh warning to workers urging them to check their payslips this week – as they risk losing out on over £2,000 if they are not paid the correct amount
Workers are being urged by HMRC to check if they’re entitled to over £2,000 in unclaimed money they might be unknowingly sitting on.
The call comes as part of National Apprenticeship Week, set to take place from February 10 to 16, 2025. In a move to safeguard apprentice wages and offer vital tax advice, HM Revenue and Customs is also reminding these young workers about a fund that could give their finances an instant lift.
Marc Gill, HMRC’s director of individuals and small business compliance, said: “We want to make sure that all workers are paid correctly for the hours they work. And we are reminding employers to follow their legal obligations to pay at least the National Minimum Wage when hiring an apprentice.
“You can check your pay is correct via the online pay checking tool. Just search ‘National Minimum Wage’ on GOV.UK to find out more. You can access your National Insurance number when you need it and check your pay on the HMRC app. Download it today to check the services available.”
HMRC is dishing out tips for apprentices to button up their finances. They’re told to confirm they’re bagging the correct National Minimum Wage (NMW) for their age and how far they’ve come in their apprenticeship.
It’s a worker’s right to pocket at least the NMW that’s due to them based on age and apprenticeship year:
- For those between 16 to 18 years old snipping through an apprenticeship: £6.40 per hour
- If you’re 19 or past and chiselling away at the first year as an apprentice: £6.40 per hour
Those aged 19 and over, who have completed the first year of an apprenticeship, are entitled to the National Minimum Wage or National Living Wage rate for their age. Rates change on April 1 each year, reports the Express.
For more information, search ‘National Minimum Wage rates’ on GOV.UK and click on HMRC’s NMW apprentice video. HMRC issues National Insurance (NI) numbers to youngsters prior to their 16th birthday.
It’s vital for employees to provide their NI number to their employer to ensure accurate recording of contributions and tax, as well as to gain access to pensions and benefits. Those without an NI number can apply for one on the GOV.UK website.
Child Trust Funds (CTF) are tax-exempt savings accounts for children born between September 1, 2002, and January 2, 2011, with an average value of £2,212. Upon turning 18, young adults can withdraw any savings from their account.
More information can be found on the GOV.UK website under ‘find a Child Trust Fund’. The free and secure HMRC app allows users to access their personal tax information whenever necessary.
Features include viewing and downloading their NI number to their digital wallet, using the tax calculator to estimate net pay, checking employment history, State Pension forecasts and NI contributions.
According to HMRC, employers often make common payroll errors such as failing to pay apprentices for training time, not paying for all hours worked, neglecting to raise the hourly rate following the annual increase or upon completion of the apprentice’s first year.
Mistakes can also occur if employers deduct costs for items such as uniforms, tools or personal protective equipment required for the job, resulting in the worker earning less than the minimum wage.
The public was also urged to be vigilant of scams promising tax rebates, alerting them to outdated tax details or intimidating them with threats of arrest for tax evasion. Advice on how to avoid falling victim to HMRC scams can be found on the GOV.UK website.
