Maternity Allowance vs Statutory Maternity Pay: what you can get and how to apply

Expecting a baby and confused about maternity pay? You’re not alone. The main options are Statutory Maternity Pay (SMP) and Maternity Allowance (MA).

SMP is usually paid by your employer. MA is a government benefit for those who don’t qualify for SMP, such as the self-employed or low earners.

This guide will break down the differences, show you what you might get, and explain exactly how to apply. Let’s get you the support you’re entitled to.

What’s the Real Difference: SMP vs Maternity Allowance?

The simplest way to think about it is this: Statutory Maternity Pay (SMP) is an employee benefit. It’s for people in a stable job with one employer.

Maternity Allowance (MA) is a state-funded safety net. It’s designed for people who work but don’t meet the strict rules for SMP.

This could be because you’re self-employed, recently changed jobs, or don’t earn enough to qualify for SMP. One is from your boss, the other from the government.

Statutory Maternity Pay (SMP): What You Need to Know

To get SMP, you must be classed as an ’employee’ and meet specific conditions. It’s not just about having a job; the length of service and earnings matter.

Here are the key requirements you must meet to qualify for Statutory Maternity Pay.

• Continuous Employment: You must have worked for your employer for at least 26 continuous weeks by the end of the ‘qualifying week’.
• The Qualifying Week: This is the 15th week before your baby’s due date. It’s a key date for eligibility.
• Earnings Threshold: You must earn, on average, at least £123 per week in the 8 weeks leading up to the qualifying week.
• Proper Notice: You need to tell your employer you’re pregnant and when you want your leave to start, following their rules.
• Proof of Pregnancy: You must provide a MATB1 certificate, which you get from your midwife or doctor from 20 weeks pregnant.

How Much is SMP and How is it Paid?

SMP is paid for up to 39 weeks and is split into two different rates. The first few weeks are paid at a higher rate.

For the first 6 weeks, you get 90% of your average weekly earnings before tax. There is no upper limit on this amount.

For the next 33 weeks, you receive a standard rate. This is currently £184.03 per week or 90% of your average earnings, whichever is lower.

Important: Your employer pays SMP directly into your bank account, just like your salary. It is also subject to tax and National Insurance deductions.

If you decide to return to work before the 39 weeks are up, the payments will stop.

Maternity Allowance (MA): The Alternative Support

If your employer tells you that you’re not eligible for SMP, don’t panic. Maternity Allowance is the next option to explore, paid by Jobcentre Plus.

MA is designed for a wider range of working people. You might be able to get it if you are:

• Employed: But you haven’t worked for your current employer long enough.
• Self-Employed: And you have been paying Class 2 National Insurance contributions.
• Low-Paid: Your earnings are below the £123 per week threshold for SMP.
• Unemployed Recently: But you were working recently.

Eligibility for MA is based on your work history during a 66-week ‘test period’ before your baby is due. You must have been employed or self-employed for at least 26 of these weeks.

You also need to have earned at least £30 a week in any 13 of those 26 weeks.

How Much Can You Get with Maternity Allowance?

Maternity Allowance is also paid for up to 39 weeks. The amount you get depends on your National Insurance contributions.

Most people who qualify will receive the standard rate of £184.03 a week or 90% of your average weekly earnings, whichever is less.

This payment comes directly from the government every two or four weeks and is not usually taxed. This is a key difference from SMP.

A small number of people who are self-employed and haven’t paid enough Class 2 National Insurance might get a reduced rate of £27 per week for 39 weeks.

Step-by-Step: How to Claim Statutory Maternity Pay

Claiming SMP is a straightforward process that happens directly with your employer. The key is to give them notice in plenty of time.

1. Tell Your Employer: You must inform your employer about your pregnancy at least 15 weeks before your due date. Check your contract for any specific company policies.
2. Provide Proof: Give your employer your MATB1 certificate. You’ll get this from your midwife or GP after your 20-week scan. They cannot pay you without this.
3. Confirm Your Dates: You must give your employer at least 28 days’ notice of the date you want your SMP to start. This can be done in writing.

Once you’ve provided this information, your employer has 28 days to confirm whether you are eligible and how much you will receive.

Applying for Maternity Allowance: A Practical Guide

Applying for Maternity Allowance involves filling out a form and sending it to Jobcentre Plus. You can start this process once you are 26 weeks pregnant.

1. Get the Form: You need to complete the Maternity Allowance (MA1) claim form. You can download this directly from the GOV.UK website or order a copy by phone.
2. Gather Your Documents: You will need your MATB1 certificate. You may also need proof of your income, such as original payslips or an SMP1 form from your employer.
3. For the Self-Employed: You will need to provide your Class 2 National Insurance details and proof of your earnings to help them assess your claim quickly.
4. Send Your Claim: Post the completed form and your supporting documents to the address listed on the form. It’s wise to send it via recorded delivery.

Top Tip: Don’t delay your application. The latest you can claim is within three months of your baby being born, but applying early ensures your payments start on time.

What if Your Employer Says You Can’t Get SMP?

If you don’t qualify for SMP, your employer has a legal duty to tell you. They can’t just say no without a formal explanation.

They must give you an official form called SMP1 (Statutory Maternity Pay). This form explains exactly why you are not eligible.

This isn’t a rejection letter; it’s the key to your next step. You will need the SMP1 form to apply for Maternity Allowance. Keep it safe!

Your employer must provide this form within 7 days of making their decision, giving you time to make your MA claim.

Key Deadlines You Absolutely Cannot Miss

When you’re expecting, there are many dates to remember. These are the most important ones for securing your maternity pay without any hassle.

• 15 Weeks Before Due Date: The absolute latest you should tell your employer you are pregnant and intend to take maternity leave.
• 28 Days’ Notice: The minimum notice you must give your employer for when you want your SMP payments to begin.
• 20 Weeks Pregnant: When you can get your MATB1 certificate from your midwife or doctor. You need this for both SMP and MA.
• 26 Weeks Pregnant: The earliest you can submit your claim form for Maternity Allowance.
• 3 Months After Birth: The final deadline for claiming Maternity Allowance. Don’t leave it this late, or you could lose money.

Navigating maternity pay can feel complicated, but knowing which path to take is the most important part. Check your eligibility early and get your paperwork ready.