It’s good news that veterans are very much top the agenda right now and here in Plymouth, where Mountain Top Accountants are based, it’s particularly relevant. We have an increasing population of former serviceman and women and it’s fair to say that we have an affinity with veterans down here in Plymouth and we’re proud of that.
The problem with the terms ‘veterans’ is that it’s slightly misleading as it conjures up an image of an elderly person that, let’s face it, is closer to the end of their life than the start of it. However, the average time spent in service is less than 6 years, which means that most so called ‘veterans’, still want and need to work when they leave their forces career.
For various reasons, that job market can be tough. The truth is people with military experience often make some of the best members of staff. They’re well known as being disciplined and are often quick to learn, plus there’s a tax incentive that’s designed specially to encourage employers to take them on.
Back in early 2021, HMRC launched a scheme under the name ‘National Insurance contributions relief for employers who hire veterans’ (yes, it’s a long title but it self-explanatory to an extent).
What this means is that employers can have zero rate of employers Class 1 National Insurance on the earnings of a qualified veteran. It’s available for 12 consecutive months from the veterans first day of civilian employment and employers can claim back the relief in real time through PAYE.
As with any tax relief scheme such as this, there are strict rules over qualification, limits and eligibility but on the whole, it’s a great way to get veterans employed with a bit of help from HMRC.
It may be a bit general but employees with a military background often adapt well once trained and are usually very good at following a brief that’s been set. It’s something to do with the way that’ve been trained in the forces. The result of this is skilled employees with qualities that are invaluable and in demand. The HMRC scheme just makes them even more attractive as potential employees, which is good for them and good for the people that end up taking them on.
If you are keen to employ someone who may be fresh out of military service, then this scheme may well work well for you as well as them. However, it’s not without its complications and therefore it’s probably worth a chat with an accountancy firm that understands the scheme and can navigate it properly.
By the way, that’s us at Mountain Top Accountants, so if you’d like to know more, get in contact on 01752 914214 and remember, some of these people have been heroes helping us during their early careers, so isn’t it time that we started helping them in return?
