Ni Category for employee passed retirement age

Question

I have an employee who will reach state pension age and is continuing to work. Their date of birth is mid month so my question is, do I change their NI category at the beginning of the calendar month during which they will reach state pension age or should I wait until the beginning of the next calendar month. 
 
 Thanks 
 
 Tina

James Hattersley · Accepted Answer

Hi Tina, Thanks for using Sage Community Hub. It depends on the employee's birth date. For example - the processing date is the 20th of the month - the employee's birthday is the 25th of the month. In this case the employee at the time of processing hasn't reached pension age yet and the NI Category would stay the same. Another example - the processing date is the 20th of the month - the employee's birthday is the 15th of the month. In this case, the employee at the time of processing has reached the retirement age and should have their NI Category changed. If this has answered your question, please click Verify Answer. 
 Regards, James Hattersley Sage UKI

Sage 50 Payroll

Ni Category for employee passed retirement age

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