NIM01010 - Class 1 structural overview: earnings limits & thresholds for pay intervals of other than a week

Lower and upper earnings limits

If an employee’s earnings period (see NIM01003) is for a period other than a week, the appropriate limits may be calculated as follows:

Earnings Period	How to calculate the earnings limits
Multiple of a week	Multiply the weekly LEL and UEL by the number of weeks in the period.
A month	multiply the weekly LEL and UEL by 4 1/3 and round the resultant figure up to the next whole pound
Multiple of a month	multiply the weekly LEL and UEL by 4 1/3 and then by the number of months in the earnings period. Round this answer up to the next whole pound.
A year	multiply the weekly LEL and UEL by 4 1/3 and then by 12. Round this answer up to the next whole pound
Not a multiple of a week or month	divide the weekly LEL and UEL by 7. Multiply the answers by the number of days in the period. Calculate to the nearest penny, with a halfpenny or less being disregarded.

If an employee’s Earnings period (see NIM01003) is for a period of other than a week, the appropriate threshold may be calculated as follows:

Earnings Period	How to calculate the Primary and Secondary Thresholds
Multiple of a week	Divide the yearly threshold by 52 and multiply the result by the number of weeks in the period. Round this answer up to the next whole pound.
Multiple of a month	Divide the yearly threshold by 12 and multiply the result by the number of months in the period. Round this answer up to the next whole pound.
Not a multiple of a week or month	Divide the threshold by 365 and multiply the result by the number of days in the period. Calculate to the nearest penny, with a halfpenny or less being disregarded.