Last updated: 16 October 2026
The question
I have a new employee who has worked for me for two weeks. Yesterday they called in sick. Do I have to pay Statutory Sick Pay (SSP)?
The short answer
Yes, in most cases. Under the Employment Rights Act 2025, from 6 April 2026 SSP is payable from the first day of sickness absence, and the lower earnings limit has been removed. There is no minimum length of service, so new employees qualify as soon as they start work.
SSP rules for 2026/27
| Rule | From 6 April 2026 |
| Weekly rate | £123.25, or 80% of average weekly earnings if lower |
| Waiting days | None, SSP starts on the first day of sickness |
| Earnings threshold | None, the lower earnings limit no longer applies |
| Maximum period | 28 weeks in a period of incapacity |
| Who qualifies | Employees, including part-time, zero-hours and agency workers paid through PAYE |
How to work out SSP for a new employee
SSP is paid for “qualifying days”, usually the days the employee normally works. Divide the weekly rate by the number of qualifying days in the week to get a daily rate. For someone who has not been paid for the usual eight-week reference period, use the pay they have received so far, or what they would have received, to estimate average weekly earnings.
Example
A new employee works three days a week and earns £300 a week. 80% of average weekly earnings is £240, which is more than £123.25, so SSP is the full rate. The daily rate is £123.25 / 3 = £41.08. If they are off sick for two working days, they get £82.17 SSP. Under the old rules, the first three days were waiting days and they would have received nothing.
Evidence of sickness
Employees can self-certify for the first seven calendar days. After that, you can ask for a fit note from a doctor or other healthcare professional. You can ask for reasonable evidence earlier, but you cannot withhold SSP for the first seven days because there is no fit note.
Can employers reclaim SSP?
No. Employers cannot reclaim SSP from HMRC. Small employers should budget for the cost, particularly now that SSP starts from day one.
Company sick pay
Many employers pay more than SSP under the contract. Company sick pay can include SSP, so you do not pay both. Check whether your contract terms need updating for the new rules.
Records to keep
Keep a record of sickness dates, SSP paid and any fit notes. HMRC can ask for these, and they help you manage absence fairly.
Updating your payroll software
Make sure your payroll software has been updated for the April 2026 rules, so it no longer applies waiting days or the lower earnings limit test. Check sickness records for part-time staff in particular, as the 80% rule may give them less than the flat rate.
Frequently asked questions
Does SSP apply if the employee was sick before starting work?
No. It applies to sickness while employed.
Do I pay SSP for days the employee doesn’t normally work?
No, only for qualifying days.
Is SSP taxable?
Yes. It goes through payroll and is subject to tax and NIC as normal.
What if an employee is sick for more than 28 weeks?
Send form SSP1 so they can claim benefits instead.
Related: new employment rights, SSP for an injured employee and new employees without a P45.
Talk to Accotax
Want this handled for you? Our team at Accotax can help with Statutory Sick Pay and payroll. See our payroll services service, or contact us for a free, no-obligation quote.
This page is general guidance based on HMRC rules for the 2026/27 tax year, checked against gov.uk on 16 October 2026. It is not personal advice, so speak to an accountant about your own situation.
