SMP in lump sum in new tax year

SMPlum

Hi (am new, be gentle!)

I have a question RE my SMP payments being received in one lump sum rather than across the year in monthly payments.

I earn £640pm, I am due to start my maternity leave mid July. This is my only employment.

I've googled and it seems the general consensus is usually no, for tax purposes this isn't in my interest- but since I earn peanuts (Husband is bread winner while I do child rearing thing..) I don't think this applies to me? Would I be at a disadvantage to ask/receive SMP in a lump sum? I don't intend to return to work until Jan 2017 (not same employment)

I'm afraid that tax and all things beyond receiving my paycheck each month is complete fuzz to me, so i'm gonna need you to talk s.l.o.w :rotfl:

If its of any relevance, They are making me redundant, so I wont be employed by them even though I qualify for smp (just)

Thanks in advance to anyone who swings by..

SMPlum

Savvy_Sue

For tax purposes, it shouldn't make any difference whether you receive your SMP as one payment or spread across several months, in the longer term. However in the immediate term, you'd pay more tax on the lump sum, which you'd then be able to reclaim from HMRC using (I think) a P50 form to state that you won't have any other earnings in the current tax year.

National Insurance is different, and I think you'd pay more NI in this scenario, and it's not usually reclaimable.