What's covered in this guide?:
What is SSP (Statutory Sick Pay)?
Statutory Sick Pay (SSP) is a UK government-mandated payment that employers must provide to eligible employees who are unable to work due to illness.
It provides a minimum level of income during sickness absence and is paid by the employer through payroll.
Key Features of SSP:
Paid by employers (not directly by the government)
Paid at the lower of:
80% of average weekly earnings
£123.25 per week (2026–27 tax year cap)
Payable for up to 28 weeks
Subject to PAYE income tax and National Insurance
Typically starts after 3 qualifying days (waiting days)
Important: Employees who started SSP before 6 April 2026 remain on the previous flat-rate rules.
SSP Eligibility Criteria:
Employees may qualify if they:
Have an employment contract
Are off sick for at least 4 consecutive days (including non-working days)
Earn at least £123 per week on average (Lower Earnings Limit)
Provide required notice and evidence
Enable SSP in Workforce Payroll
The SSP leave type is included by default in Workforce Payroll.
To enable SSP:
Navigate to Payroll > Payroll Settings > Leave Types
Select Statutory Sick Pay (SSP)
Under Who will the leave rule apply to?, select relevant employees
How SSP Works in Workforce Payroll
Workforce Payroll automates SSP by:
Checking eligibility requirements
Calculating SSP using AWE and HMRC caps
Including SSP in payroll runs
⚠️ Important:
The system does not automatically enforce waiting days. SSP is calculated from the start date of the SSP leave request.
You must manually record the first 3 qualifying days as unpaid leave.
It is your responsibility to only create SSP leave requests for eligible employees. HMRC rules require at least 4 consecutive days of sickness and the employee must earn at least £123/week on average.
Create SSP Leave Requests
Under HMRC rules, SSP is payable from the 4th qualifying day.
To ensure correct calculations, create two leave requests:
Step 1 – Record waiting days
Create Unpaid Sick Leave for the first 3 days.
Step 2 – Record SSP leave
Create SSP leave starting from day 4 onward.
Example
If an employee is sick Monday–Friday:
Monday–Wednesday → Unpaid Sick Leave
Thursday–Friday → SSP leave
💡 Tip: Separating leave types ensures accurate payroll and compliance with HMRC rules.
SSP Daily Rates
SSP is automatically calculated based on:
Average weekly earnings
HMRC statutory cap
Working pattern
SSP is paid at the lower of:
80% of average weekly earnings
£123.25 per week
You do not need to enter these manually.
💡 Tip: Workforce automatically updates SSP rates in line with HMRC changes.
Example calculation
If an employee earns £200/week:
80% = £160
Cap = £123.25
SSP paid = £123.25
How SSP is paid in Workforce Payroll
SSP appears as a separate line item in payroll.
It is:
Paid on the normal payday
Subject to tax and National Insurance
SSP stops when:
The employee returns to work
28 weeks is reached
The employee becomes ineligible
Helpful Links
Need Help?
If you need support with SSP in Workforce:
Contact the Support Team support@workforce.com
Use the HMRC calculator to double-check manual edge cases.