How Statutory Maternity Pay works
Statutory Maternity Pay (SMP) is paid by employers for up to 39 weeks. The rate is set by section 166 of the Social Security Contributions and Benefits Act 1992 and the Statutory Maternity Pay (General) Regulations 1986:
- Weeks 1 to 6. 90% of average weekly earnings, with no upper limit;
- Weeks 7 to 39. £194.32 a week or 90% of average weekly earnings, whichever is lower.
The £194.32 rate applies from April 2026. SMP is paid through payroll on the normal payday, with tax and National Insurance deducted. It usually starts when maternity leave starts, which can be up to 11 weeks before the expected week of childbirth.
Who qualifies
Statutory Maternity Leave of 52 weeks is a day-one right for employees, but SMP has two tests of its own:
- Service. At least 26 weeks' continuous employment with the same employer, continuing into the qualifying week (the 15th week before the expected week of childbirth);
- Earnings. Average weekly earnings in the 8-week relevant period of at least the National Insurance lower earnings limit, £129 a week in 2026/27;
- Notice and evidence. At least 28 days' notice of the start date, and proof of pregnancy, usually form MATB1.
The lower earnings limit that counts is the one in force at the end of the qualifying week. For babies due from 19 July 2026 to 17 July 2027, that is £129; for babies due before 19 July 2026 it was the 2025/26 limit of £125. For later due dates the 2027/28 limit will apply. Employees who fail either test may be able to claim Maternity Allowance instead, and the employer must give them form SMP1.
Working out average weekly earnings
The relevant period is usually the 8 weeks up to the last normal payday on or before the Saturday of the qualifying week. Add up gross earnings subject to Class 1 National Insurance that were paid in that period, then:
- Weekly paid. Divide by the number of weeks, normally 8;
- Monthly paid. Divide by the number of months (normally 2), multiply by 12 and divide by 52.
Overtime, commission or a bonus paid in the relevant period counts towards the average, so the timing of a bonus can change the amount of SMP.
Worked example
Amira's average weekly earnings in the relevant period are £600. Her employer's Class 1 National Insurance bill last year was over £45,000.
| Period | Weekly rate | Weeks | Total |
|---|---|---|---|
| Weeks 1–6 (90% of £600) | £540.00 | 6 | £3,240.00 |
| Weeks 7–39 (flat rate) | £194.32 | 33 | £6,412.56 |
| Total SMP | 39 | £9,652.56 |
Her employer can reclaim 92%, which is £8,880.36, so its net cost is £772.20. If Amira earned £200 a week, 90% would be £180, which is below £194.32, so she would get £180 for all 39 weeks: £7,020.
What employers can reclaim
Employers recover statutory payments by reducing what they pay HMRC, claiming the amount on the Employer Payment Summary (EPS). For 2026/27:
| Employer | Recovery rate |
|---|---|
| Class 1 NICs above £45,000 in the qualifying tax year | 92% |
| Class 1 NICs of £45,000 or less (Small Employers' Relief) | 109% |
Small Employers' Relief gives back the full SMP plus an additional 9% compensation for payments made from 6 April 2026, set by regulation 3 of the Statutory Maternity Pay (Compensation of Employers) Regulations 1994. The £45,000 test uses employee and employer Class 1 contributions before any Employment Allowance. Employers who cannot afford to make the payments can apply to HMRC for advance funding.
Paternity and other family pay
Statutory Paternity Pay is £194.32 a week or 90% of average weekly earnings if lower, for up to 2 weeks, with the same service and earnings tests. Statutory Shared Parental Pay, Parental Bereavement Pay and Neonatal Care Pay use the same weekly rate, and Statutory Adoption Pay follows the SMP pattern. All of these can be reclaimed at the same 92% or 109%.
What this calculator does not cover
- Dates. It does not work out the qualifying week, relevant period or pay dates from the due date;
- Rate changes during leave. If SMP runs past the April 2027 uprating, later weeks are paid at the new rate;
- Special cases. Early births, stillbirths, pay rises during leave, and employees who leave before or during maternity leave follow their own rules;
- Northern Ireland. SMP there is governed by separate legislation;
- Occupational maternity pay. Enhanced company schemes and how they interact with SMP.
Getting it right
Getting SMP wrong means overpaying, underpaying or missing a reclaim. Our outsourced payroll service calculates statutory payments and claims them back through the EPS each month, and our PAYE services handle the HMRC side. For sickness absence, use our Statutory Sick Pay calculator.