Student Loans – changes and useful Information for 2009

Collection of Student Loans (CSL) leaflets

A new CSL leaflet (PDF 69K) to partner and support the existing Employers CSL quick guide (PDF 58K) leaflet has now been published and is available online and in paper format.

The new leaflet has been written primarily for student loan borrowers who have Self Assessment and/or PAYE obligations. It is hoped that this will be useful for you and the borrower since we know you are sometimes approached for information you aren’t able to provide.

P60 and Payslip retention by Student Loan borrowers

We know that you can often be approached by employees with student loans for duplicate P60 and payslip information. We want to reduce this administrative burden on you and we are working on ways to provide easily accessible guidance for you and your employees around these sorts of issues. In the meantime, and where possible could you remind your employees who have student loan deductions from payroll to retain these documents for student loan purposes.

What is changing?

For 2009, the student loan column previously found on your P11 deductions working sheet at 1j has now been moved to 1k.

How does it affect me?

If you still complete a paper form P11 you will need to be aware of this change. In addition if you use the manual SL3 deduction tables or the stand alone student loan calculator found on the Employer CD-ROM you will still need to manually record the P11 deductions in the correct place.

Alternatively the HMRC P11 Calculator (found on the Employers CD-ROM), will calculate and record your PAYE, National Insurance contributions (NICs) and your Student Loan deductions for you. It will also save you time and reduce the likelihood of errors.

More help and information is available if you have employees for whom you make student loan deductions and if you want more specific advice about the methods of payroll deduction mentioned.

We will keep you updated with the changes via our website and through future editions of the Employer Bulletin.