HMRC have updated the save as you earn scheme (SAYE) bonus rates following the Bank of England decision on 8 May 2025 to cut the bank base rate to 4.25%. SAYE bonus rates will be reduced to 0.7 for three-year contracts and 1.9 for five-year contracts (both rates being a multiple of a monthly contribution). The early leaver rate will be 0.83%.
The updated rates apply for contracts taken out on or after the 15th day following the date from which the new bank base rate applies. For the most recent change this means that the new rates have effect for new contracts taken out on or after 23 May 2025.
Following a change in the bank base rate the SAYE bonus rates and early leaver rate are automatically updated in accordance with the methodology set out in the SAYE bonus rates automatic mechanism.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
HMRC have updated the save as you earn scheme (SAYE) bonus rates following the Bank of England decision on 8 May 2025 to cut the bank base rate to 4.25%. SAYE bonus rates will be reduced to 0.7 for three-year contracts and 1.9 for five-year contracts (both rates being a multiple of a monthly contribution). The early leaver rate will be 0.83%.
The updated rates apply for contracts taken out on or after the 15th day following the date from which the new bank base rate applies. For the most recent change this means that the new rates have effect for new contracts taken out on or after 23 May 2025.
Following a change in the bank base rate the SAYE bonus rates and early leaver rate are automatically updated in accordance with the methodology set out in the SAYE bonus rates automatic mechanism.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
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