Inducement ('golden hello') payments
Definitions or restrictions
Covers any payments you make to encourage someone to start working
for you.
What to report, what to pay
These payments count as earnings, so:
- add them to the employee’s other earnings
- deduct and pay PAYE tax and Class 1 NICs using your usual payroll
procedures
Work out the value to use
The value to use is the amount you pay to the employee.
Technical guidance
EIM00700: Employment income
- inducement payments
NIM02185: Class 1 NICs -
'golden hellos'
