Question 1

What is the National Minimum Wage in April 2026?

Accepted Answer

The National Living Wage (for workers aged 21+) rises to £12.71 per hour from April 2026. The rate for 18-20 year olds rises to £10.85, and for under-18s and apprentices to £8.00.

Question 2

What is the true cost of a minimum wage employee UK?

Accepted Answer

The headline hourly rate is only part of the cost. Employers also pay National Insurance (15% above the £96/week threshold from April 2025), workplace pension contributions (minimum 3%), and holiday accrual (12.07% for 5.6 weeks statutory). A £12.71/hr employee working 30 hours per week actually costs significantly more when these are included.

Question 3

How much does employer National Insurance cost in 2025/26?

Accepted Answer

Employer NI is charged at 15% on earnings above the secondary threshold of £96 per week (£5,000 per year) from April 2025. For a full-time employee on minimum wage, this adds a substantial amount to the base salary cost.

Question 4

How do I calculate the real cost of giving a pay rise?

Accepted Answer

A pay rise increases not just the hourly rate but also employer NI (15% of the increase above the threshold), pension contributions (3% of the increase), and holiday pay accrual (12.07% of the increase). A 50p/hr pay rise for a 30-hour worker costs more than £15/week once all on-costs are included.

Question 5

What are the SSP changes in April 2026?

Accepted Answer

From 6 April 2026, Statutory Sick Pay changes significantly. The 3 waiting days are abolished - SSP is now payable from day one of sickness. The Lower Earnings Limit is removed, meaning part-time and lower-paid staff who previously did not qualify are now eligible. The rate becomes the lower of 80% of the employee's average weekly earnings or the flat rate of £123.25 per week. This particularly affects hospitality, where part-time workers may previously have earned below the threshold. An estimated 1.3 million additional workers become eligible.

Name	Current Rate (£/hr)	Hrs/wk	NI Cat	Pension
	£
	£
	£

April Wage Impact Calculator

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