# How to calculate statutory sick pay under the 2026 rules

> Calculate SSP under the April 2026 rules: eligibility, qualifying days, average weekly earnings, the 80% test, daily rates, linked periods and form.

Source: https://lumihr.co.uk/guides/how-to-calculate-statutory-sick-pay
Author: David Whitfield (https://lumihr.co.uk/about/david-whitfield)
UK law as at: 20 September 2026
Review by: 6 April 2027

---
*By David Whitfield · Reflects UK law as at 20 September 2026 · Review by 6 April 2027*

> **In short**
> - Since 6 April 2026, statutory sick pay (SSP) has been payable from the first full day of sickness, with no minimum earnings.
> - The weekly rate is £123.25 or 80% of average weekly earnings, whichever is lower, divided by the employee's qualifying days to give a daily rate.
> - Periods of sickness 56 days or less apart link. The rate set at the start applies throughout, for up to 28 weeks.
> - In the lumi reward benchmark, 44.0% of organisations pay statutory sick pay only (n = 257).
> - By the end you will have worked out the amount due and know what to give the employee when SSP ends.

## Before you start

**Legal basis.** Part XI of the Social Security Contributions and Benefits Act 1992, as amended by the Employment Rights Act 2025 from 6 April 2026, and the Statutory Sick Pay (General) Regulations 1982 [2][3][12].

**Who is involved.** Payroll, plus HR or the line manager to record dates, notice and fit notes.

**What you need:** the first and last days of sickness; the employee's qualifying days; their paydays and gross earnings for at least the previous 8 weeks; and any sickness absence that ended in the previous 56 days.

For evidence on how UK employers pay sick pay, see our [research briefing on occupational sick pay](/research/occupational-sick-pay-2026).

## Step 1: Check the employee is eligible

An employee qualifies if they have an employment contract, have done some work under it, have been sick for at least one full working day, and give notice and proof of illness when needed [4]. There is no earnings test. Exclusions include employees who have had 28 weeks of SSP or are getting Statutory Maternity Pay [4].

**◆ Decision: your notification deadline.** Employees must tell you they are sick within the time limit you set, or within 7 days if you haven't set one. You can't insist on notice in person or on a special form. You needn't pay SSP for days they were late in telling you, unless they had a good reason [4].
- *A short deadline, such as a set time on the first morning:* earlier notice for cover and payroll, but more late-notice cases to judge.
- *The 7-day default:* fewer disputes, but less notice for planning.

## Step 2: Identify the period of sickness and the qualifying days

A period of incapacity for work (PIW) is sickness lasting at least one full day. Every day counts towards it, including weekends and non-working days [5]. SSP is paid only for qualifying days: the days the employee normally works, agreed between you, at least one a week [6]. SSP weeks run from Sunday [2].

**◆ Decision: qualifying days for shift patterns.** HMRC allows qualifying days to change week by week with the rota, or you can agree the same days every week [6].
- *Follow the rota:* pay matches the days actually lost, but payroll needs the rota each week.
- *Fixed days:* simpler to run, but may not match the days the employee would have worked.

## Step 3: Check whether the absence links to an earlier one

If the gap between two PIWs is 56 days or less, treat them as one. Apply the qualifying conditions to the first day of the first PIW, and keep the rate set then, even if earnings have changed [5]. A continuous linked series can't last more than 3 years [4].

Transitional rules apply where a period of entitlement began before 6 April 2026 and continued after it: for example, an employee earning £125 to £154.0625 a week keeps the £123.25 rate for the rest of that period [3].

## Step 4: Work out average weekly earnings

The relevant period ends on the last normal payday before the first full day of sickness. It starts the day after the last normal payday at least 8 weeks before that [5][6].

- *Weekly paid:* gross earnings paid in the period ÷ number of weeks.
- *Monthly paid:* gross earnings ÷ number of months × 12 ÷ 52.

Count all earnings on which Class 1 National Insurance is due, or would be if earnings were high enough, and don't round [5]. For an employee paid for less than 8 weeks, use all earnings paid before the sickness. If nothing has been paid yet, use contractual earnings [5][6].

## Step 5: Apply the 80% comparison

The weekly rate is the lower of £123.25 and 80% of average weekly earnings [2][7]. The two are equal at £154.0625 a week, so anyone earning less receives 80% of earnings.

## Step 6: Work out the daily rate and the amount due

Divide the weekly rate by the qualifying days in that week, then multiply by the qualifying days of sickness [2][5]. Pay it through payroll, with tax and National Insurance deducted [4]. Where the division isn't exact, round up. Regulation 11 of the Statutory Sick Pay (General) Regulations 1982 requires any fraction of a penny in the payment to be rounded up to the next whole penny [12]. It is mandatory, not a choice of method, and HMRC's tables and the GOV.UK calculator apply the same rule [7][8].

**Worked example 1: full-time, monthly paid.** Inputs: £2,600 gross, paid on the last day of each month; works Monday to Friday; sick Monday 14 to Tuesday 22 September 2026.
- Last payday before the sickness: 31 August. Eight weeks earlier is 6 July, so the earlier payday is 30 June. Relevant period: 1 July to 31 August, with two payments of £2,600.
- Average weekly earnings: £5,200 ÷ 2 × 12 ÷ 52 = **£600.00**. 80% is £480.00, so the flat rate applies: **£123.25** a week.
- Daily rate: £123.25 ÷ 5 = £24.65. Week from 13 September: 5 days, £123.25. Week from 20 September: 2 days, £49.30.
- **Result: £172.55.** The absence lasted 9 days, so a fit note is needed.

**Worked example 2: part-time, low-paid, weekly paid.** Inputs: paid every Friday; works Tuesday and Thursday; sick Tuesday 8 to Tuesday 15 September 2026.
- Last payday before the sickness: 4 September. Eight weeks earlier: 10 July. Relevant period: 11 July to 4 September, with 8 paydays of £96, £108, £102, £96, £114, £102, £96 and £106, totalling £820.
- Average weekly earnings: £820 ÷ 8 = **£102.50**. 80% is **£82.00**, lower than £123.25, so the weekly rate is £82.00.
- Daily rate: £82.00 ÷ 2 = £41.00. Week from 6 September: 2 days, £82.00. Week from 13 September: 1 day, £41.00.
- **Result: £123.00.** Before 6 April 2026 this employee would have had no SSP, because £102.50 was below the 2025/26 lower earnings limit of £125 [9].

## Step 7: Track linked periods and the 28-week maximum

The maximum SSP in a period of entitlement is 28 times the weekly rate. SSP stops when the employee returns to work, reaches the maximum or no longer qualifies, for example because their contract ends [2][4]. A new absence that doesn't link starts afresh, with a new relevant period, rate and 28-week entitlement [2].

**Worked example 3: linked periods.** Inputs: the employee in example 2 is sick again from Tuesday 3 to Thursday 12 November 2026. Their hours rose in October.
- Gap between the absences: 16 September to 2 November, 48 days. That is 56 days or less, so they link.
- A fresh calculation would give average earnings of £150.00 and a rate of £120.00. In a linked series the rate stays at **£82.00**.
- Qualifying days sick: 3, 5, 10 and 12 November. 4 × £41.00 = **£164.00**.
- Maximum entitlement: 28 × £82.00 = £2,296.00, or 56 qualifying days. Used: 7 days (£287.00). **Remaining: 49 days (£2,009.00).**
- An absence starting on 8 January 2027 (a 56-day gap) would link; one starting a day later, on 9 January 2027 (a 57-day gap), would not.

## Step 8: Ask for a fit note only once absence passes 7 days

Employees self-certify for the first 7 days of absence, including non-working days. You can only ask for a fit note where an employee is off more than 7 days in a row [4]. Acas puts the same point as asking from the 7th day of absence, so the request is made as that limit is reached [10]. You can't withhold SSP because a fit note arrives late [4].

## Step 9: Give form SSP1 when SSP ends or isn't due

Use DWP's 2026/27 SSP1, updated 20 April 2026. It supports the employee's claim for Universal Credit or Employment and Support Allowance [11]. Give it [4]:
- within 7 days of the first day off sick, if the employee isn't eligible;
- on or before the start of the 23rd week, if SSP is expected to end before the sickness does;
- within 7 days of SSP ending, if it ends unexpectedly while they are still sick.

Give one too if the employment ends while the employee is still sick [4].

## Step 10: Line up company sick pay and records

If you pay company sick pay, check how it sits alongside day-one SSP. The design choices are in [what to review in your company sick pay scheme](/guides/occupational-sick-pay-ssp-reform).

In the lumi reward benchmark, 66.2% of organisations have a waiting period of up to 3 days before occupational sick pay applies, and 33.1% have no waiting period (n = 136, "Not applicable" excluded).

Asked whether occupational sick pay has been reviewed against the April 2026 SSP reform, 32.6% of organisations are reviewing it, the common answer. 29.6% have not reviewed it, 28.8% have aligned it and 9.0% have aligned it and enhanced occupational sick pay (n = 267).

GOV.UK leaves the form of sickness records to you [4]. Keep enough to show how each payment was worked out.

## Checklist

- [ ] Eligibility checked, with no earnings test
- [ ] Notification deadline set and communicated
- [ ] First full day of sickness and qualifying days recorded
- [ ] Absences in the previous 56 days checked for linking
- [ ] Average weekly earnings worked out over the relevant period, unrounded
- [ ] Weekly rate set at the lower of £123.25 and 80% of earnings
- [ ] Running total checked against 28 times the weekly rate
- [ ] Fit note requested for absences of more than 7 days
- [ ] Form SSP1 (2026/27 version) issued on time where needed
- [ ] Company sick pay rules checked against day-one SSP

## FAQ

**Is SSP paid from the first day of sickness?**
Yes. Since 6 April 2026 it has been payable from the first full day of sickness.

**How do I calculate SSP for a part-time employee?**
Take the lower of £123.25 and 80% of average weekly earnings, and divide by their qualifying days that week.

**What happens if an employee is off sick again within 8 weeks?**
Absences 56 days or less apart link. The original rate continues, and all SSP paid counts towards the 28-week maximum.

**Can I withhold SSP if a fit note is late?**
No. Late notice of the sickness itself is different: you needn't pay SSP for the days of delay, unless there was a good reason.

**What do I give an employee when their SSP runs out?**
Form SSP1, 2026/27 version, by the start of the 23rd week if you expect SSP to end before they recover.

## Related

- [Occupational sick pay: UK benchmark 2026](/research/occupational-sick-pay-2026) — the benchmark findings behind the figures in this guide.
- [How to set up group income protection](/guides/how-to-set-up-group-income-protection)
- [How to write an enhanced maternity and adoption pay policy](/guides/how-to-write-enhanced-maternity-pay-policy)
- [How lumi works: methodology](/methodology) — how these figures are collected and calculated.

## Sources

1. lumi reward benchmark, collection window 2026 H1, national figures: [full findings](/research/occupational-sick-pay-2026)
2. legislation.gov.uk, *Social Security Contributions and Benefits Act 1992*, ss.153, 155 and 157. https://www.legislation.gov.uk/ukpga/1992/4/section/157
3. legislation.gov.uk, *Employment Rights Act 2025 (Commencement No. 3 and Transitional Provisions) Regulations 2026*, SI 2026/373 (25 March 2026). https://www.legislation.gov.uk/uksi/2026/373/made
4. GOV.UK, *Statutory Sick Pay (SSP): employer guide* (updated 9 September 2026). https://www.gov.uk/employers-sick-pay
5. HMRC, *Work out your employee's Statutory Sick Pay manually* (updated 6 April 2026). https://www.gov.uk/guidance/statutory-sick-pay-manually-calculate-your-employees-payments
6. HMRC, *Statutory Payments Manual*, SPM110600 and SPM170200 to SPM170600 (updated 18 May 2026). https://www.gov.uk/hmrc-internal-manuals/statutory-payments-manual/spm170200
7. HMRC, *Rates and thresholds for employers 2026 to 2027* (updated 1 September 2026). https://www.gov.uk/guidance/rates-and-thresholds-for-employers-2026-to-2027
8. GOV.UK, *Calculate your employee's statutory sick pay*. https://www.gov.uk/calculate-statutory-sick-pay
9. HMRC, *Rates and thresholds for employers 2025 to 2026* (updated 1 March 2026). https://www.gov.uk/guidance/rates-and-thresholds-for-employers-2025-to-2026
10. Acas, *Getting a fit note or self-certifying* (updated 6 January 2025). https://www.acas.org.uk/fit-notes-and-proof-of-sickness
11. DWP, *Employer form SSP1: Statutory Sick Pay and an employee's claim for benefit* (updated 20 April 2026). https://www.gov.uk/government/publications/statutory-sick-pay-employee-not-entitled-form-for-employers
12. legislation.gov.uk, *The Statutory Sick Pay (General) Regulations 1982*, SI 1982/894, reg. 11 (rounding to avoid fractional amounts). https://www.legislation.gov.uk/uksi/1982/894/regulation/11

*This guide is general information about UK employment law and practice as at the date shown. It is not legal advice. Take advice on your own circumstances.*

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