FAQ - Statutory Adoption Pay (SAP)

Contents

If you are not familiar with some of the terms used please see Glossary of terms used for an explanation.

Need more help?

If you have any other questions relating to SAP which have not been covered you can get more help by calling the Employer Helpline, or you can send an email and we will reply within two working days.

What changes will there be for 2008-09?

The Government proposes to change the rules on Adoption Leave which will effect your employees’ entitlement to non-cash benefits during their additional adoption leave. If these changes receive Parliamentary approval, they are expected to become effective for women whose babies are due on or after 5 October 2008.

You can find more information by visiting the Business Enterprise and Regulatory Reform website.

Is SAP similar to SMP?

Yes. SAP is a legal entitlement to a certain amount of pay to help an employee (male or female) adopting a child take time off work around the time the child is placed with them. They must satisfy similar employment and earnings conditions to those for SMP, and the rules for Keeping in Touch days and recovery by the employer are also the same. It is available to either a person who is adopting a child on their own, or to one member of a couple adopting a child together. Unlike SMP, only one rate is paid throughout the full period. For more information see Statutory Adoption Pay (SAP).

How much SAP is my employee entitled to?

If they satisfy all the conditions for SAP, your employee will be entitled to the lesser of the standard weekly rate which is currently £117.18 or 90 per cent of their average weekly earnings throughout their SAP pay period. For more information see Statutory Adoption Pay (SAP).

How much time off is my employee entitled to?

The adopter is allowed to take up to 52 weeks but only the first 39 weeks can be covered by SAP.

One of my employees is adopting a child, what information do I need before paying SAP?

Your employee must give you evidence that they have been matched with a child, this usually takes the form of a matching certificate provided by the adoption agency. They must also tell you the date that they expect the child to be placed with them and the date they wish to start their leave. The SAP calculator will help you to work out whether you should pay SAP to your employee and how much you should pay.

My employee is adopting a child from abroad. Are they entitled to SAP?

There are certain qualifying conditions that must be met before your employee is entitled to SAP. For more information see the flowchart for Operating the Statutory Adoption Pay Scheme (SAP)(PDF 48K).

My employee is adopting a child who they are currently fostering, are they entitled to SAP?

Yes, entitlement to SAP and adoption leave can apply to foster parents who go on to adopt the child providing the employee gives you evidence of matching, and they satisfy all the other qualifying conditions for entitlement.

What do I do if my employee is not entitled to SAP?

If your employee does not meet the qualifying conditions for SAP (see the flowchart for Operating the Statutory Adoption Pay Scheme (SAP)(PDF 48K) you should return the matching certificate to your employee after keeping a photocopy for your records. Complete form SAP1 (PDF 29K) explaining why you cannot pay them SAP and give this to your employee. They should contact their adoption agency as they may be entitled to other help. For more information see Using your own forms - SAP.

Is SAP subject to tax and NIC?

Yes, SAP is regarded as earnings for PAYE and NIC. But it may be that the earnings will not be high enough to attract payment of NIC and may also produce a tax rebate.

Can I recover the SAP paid to my employees?

Yes, but the amount you get back depends on your total gross National Insurance Contributions liability you pay us. For more information see Recovering Statutory Payments

What records must I keep?

You must keep a copy of the evidence of the adoption which was given to your employee by the adoption agency, usually a matching certificate. Records of the payment dates and amount paid, the date the pay period began, a record of any weeks in the 39 week period when SAP wasn’t paid and reasons why. Form P11 and relevant End of Year forms should also be completed. For more information see Keeping records.