3. Deductions from weekly earnings
The following deduction rates should be used for employees being paid weekly
| Net earnings | Deduction rate (%) |
|---|---|
| Not exceeding £75 | 0 |
| Exceeding £75 but not exceeding £135 | 3 |
| Exceeding £135 but not exceeding £185 | 5 |
| Exceeding £185 but not exceeding £225 | 7 |
| Exceeding £225 but not exceeding £355 | 12 |
| Exceeding £355 but not exceeding £505 | 17 |
| Exceeding £505 | 17 in respect of the first £505 and 50 in respect of the remainder |
Weekly intervals
If your employee is paid in weekly intervals, then their net earnings should be divided by the number of weeks in the pay period.
The table above should then be used to work out the appropriate weekly deduction and the resulting amount multiplied by the number of weeks in the period.