The National Living Wage is higher than the NMW, and applies to employees who are 21 and over.
TIP:
For help with identifying which payments and deductions to include in your calculation, contact HMRC.
You can specify:
Which payments and deductions your software includes in the minimum wage calculations, and
Whether or not your software includes both the hours/no and rate, or just the rate
Cause
Resolution
Check your pay elements
Click Company then click Pay Elements.
Select the required payment then click Edit.
To include the rate for this payment, select the Include Rate in Minimum Wage calculation checkbox.
To exclude the hours/no for this payment, clear the Include Hours/No in Minimum Wage calculation checkbox.
For example, to exclude the hours where you enter a value of one such as on a bonus
For Factor payments, select the This payment includes a premium element checkbox to set that the payment has a premium element.
Ensure all other settings for this payment are correct then click OK.
To edit further payments, repeat from step 2
To edit a deduction, click the Deductions tab.
Select the required deduction then click Edit.
To exclude the rate for this deduction, clear the Include Rate in Minimum Wage calculation checkbox.
To exclude the hours/no for this deduction, clear the Include Hours/No in Minimum Wage calculation checkbox.
Ensure all other settings for this deduction are correct then click OK.
To edit further deductions, repeat from step 7
NOTE:
If you clear the Include Rate in Minimum Wage calculation checkbox, the Include Hours/No in Minimum Wage calculation checkbox automatically clears and deactivates.