Why hiring an apprentice makes good business sense!

‍Employers Save Thousands with National Insurance Exemptions for Apprentices Under 25

At Solveway Apprenticeships, we want employers to make the most of the financial benefits available when hiring apprentices. While many are aware of the advantages of apprenticeships, fewer realise the full extent of savings on National Insurance (NI) contributions for apprentices under 25.

Significant Savings on NI Contributions

In most cases, employers do not have to pay any NI contributions for apprentices under 25, which can result in savings of several thousand pounds per apprentice. For example:

• An apprentice earning £20,000 a year saves an employer £2,250 annually in NI contributions.
• An apprentice on £25,000 brings a saving of £3,000 annually.

This exemption applies to both new recruits and existing staff under 25 who earn less than £967 per week.

Additional Incentives for Young Apprentices

If you hire an apprentice aged 16-18, you are also eligible for a £1,000 government grant. This is in addition to NI savings and apprenticeship funding support.

For non-Levy paying employers (SMEs), there’s even more good news:

• Employers can receive 100% funding for training costs for apprentices aged up to 21 on enrolment.
• For apprentices aged 22 and over, 95% funding is provided.

Here’s an example of the benefits for a non-Levy paying employer hiring a 16-18-year-old apprentice earning £18,000 annually:

• Salary: £18,000
• NI saving (per year): £1,950
• Training costs: £0
• Additional grant: £1,000

Opportunities for Existing Employees

This NI exemption doesn’t just apply to new hires. If you have an existing employee under 25 who could benefit from structured training, putting them on an apprenticeship programme allows you to make these savings while enhancing their skills.

Apprenticeship Programmes with Solveway

Solveway Apprenticeships offers a variety of high-quality training programmes to meet the needs of modern businesses, including:

• AAT Accountancy: Levels 2, 3, and 4 Solveway Apprenticeships
• ICT (Information and Communications Technology): Level 3 Information Communication Technician
• Network Engineer: Level 4 Network Engineer
• Data Technician: Level 3 Data Technician

By combining practical experience with industry-recognised qualifications, our programmes provide businesses with skilled, motivated employees who deliver real value.

Invest in Your Business’s Future

Whether you’re looking to upskill your current workforce or recruit fresh talent, apprenticeships are a cost-effective way to build a skilled and loyal team. With the additional benefits of NI exemptions, government grants, and funded training costs, there’s never been a better time to explore apprenticeships.

Contact Solveway today to find out more about how we can support your business and help you maximise these incredible savings. Call us 01438 340121 or email info@solveway.co.uk

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