You can continue your salary sacrifice arrangements during your period of maternity leave.
If you are currently participating in any of the following University salary exchange schemes, please advise your Human Resources Business Partner/Human Resources Manager as soon as possible:
You may continue your existing salary exchange arrangements during any period of your maternity leave that you are entitled to receive University Maternity Pay (UMP). Only the amount of your salary above Statutory Maternity Pay (SMP) can be exchanged. At the point that there is not enough salary to exchange, the University will pay the difference between what you can exchange and the normal salary exchange amount. This includes any period for which you receive SMP only during which the University will meet the full cost. Should you elect to defer payment of UMP until you return to work, the above will still apply, but on receipt of your UMP you will be required to pay back the amount paid by the University.
This commitment to continue to provide benefits via salary exchange arrangements only applies to those benefits which you are in receipt of at the start of your maternity leave.
With regards to childcare vouchers, you have the choice not to receive childcare vouchers whilst you are on maternity leave and to restart on your return to work after maternity leave. However, please be aware of the rule changes from April 2011 regarding higher rate tax payers.
If you do choose to withdraw from the scheme you will need to complete a Request to withdraw from Childcare Vouchers or to amend Salary Sacrifice form.
Pension salary exchange
If you are entitled to receive SMP only - or if you elect to receive SMP only (ie you defer payment of UMP) you should note that your SMP payments will be based on your Adjusted Salary in accordance with statutory requirements. Your SMP will therefore be reduced for the first 6 weeks of maternity leave when SMP is based on 90% of average weekly earnings for the 8 weeks prior to the 15th week before the EWC.
To prevent any reduction in the higher rate of SMP you will be opted out of Pension Salary Exchange under the 'notification of pregnancy' Lifestyle Change. If you are entitled to UMP and you elect to receive this while you are on maternity leave then you will continue to participate in Pension Salary Exchange until you are receiving SMP only, when you will be withdrawn from the scheme.
See the car parking FAQ for information on salary deductions for car parking while you are on maternity leave.