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Reinvest in your workforce with Apprenticeship Levy

If you pay the Apprenticeship Levy, don't forget to use it to reinvest in your workforce, before the money gets returned and reallocated.

If your organisation pays a wage bill of more than £3 million per year, it is already invested in the Apprenticeship Levy.

These business and organisations pay 0.5% of payroll each month as levy tax, automatically collected by HMRC through the PAYE system.

Your business can reinvest this levy back into the workforce in the form of apprenticeship training.

What falls under the levy-paying category?

• Smaller organisations that have bigger payrolls - a lot of recruitment companies fall under this category with temporary payrolls

• Companies which experience large seasonal variations in their payrolls, exceeding £250K in one month

• Group companies with a common shareholder, but separate limited businesses, which need to be grouped together for payroll purposes

Who can use the Apprenticeship Levy?

The levy can be spent on the entire workforce, new and existing, and on employees of all ages, from junior members of staff to directors and business owners. It can also include those who have university level qualifications.

How can I access the levy?

You can access your levy money through Gloucestershire College. You need to set up an Online Digital Apprenticeship Service (DAS) account and sign the service agreement with Gloucestershire College as your training provider. You will then be able to receive your payment in your online account, and can start spending it to pay for the apprenticeship training of your choice with the college.

DAS account is the only way to access the apprenticeship money for your workforce development through apprenticeships.

When does the Apprenticeship Levy expire?

The money will stay in your account for 24 months before it gets returned to the government and reallocated to other businesses, if not spent within this period. Therefore, it is important to start the planning process early to make sure you take full advantage of the available funding.

Can I use the Apprenticeship Levy if I'm a non-levy paying employer?

Non-levy paying employers pay 5% of the apprenticeship course cost, and the government will cover the remaining 95% through the process of 'co-investment'.

Gloucestershire College's Employer Training & Apprenticeship team will support your organisation every step of the way, make sure that the apprenticeship works for you and that you make the best use of the apprenticeship funding available.

Email or call 0345 155202 for a no-obligation consultation.

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