13 January 2026
The Advisory team are seeing several queries asking “how Statutory Maternity Pay (SMP) should be calculated if the employee was already on maternity leave?”
We would need to look at the eligibility criteria and process for calculating the average weekly earnings (AWE).
To determine eligibility for SMP for the second period of maternity leave, you follow the same criteria and calculation method as normal practice, basing the AWE calculation on the 8-week relevant period up to and including the Qualifying Week (QW).
The AWE includes all earnings subject to National Insurance (NI). If SMP is included in this figure it would be included in the calculation as it is replacement earnings and subject to NI. For any weeks with no pay in the relevant period, they would be counted as blank weeks with zero pay.
The employee must be continuously employed by the employer for at least 26 weeks on any day in the QW and still on the payroll in the QW. Employees must give the correct notice and provide evidence they are pregnant.
Further information can be found here: SPM171000 - Average Weekly Earnings (AWE) - SMP/SAP/SPP/SPBP/SNCP: earnings used to calculate AWE - HMRC internal manual - GOV.UK
If the AWE does not reach the lower earnings limit the employee would not qualify and an SMP1 form would be issued. Please see sections 3.4 and 3.5 of the following guidance: Maternity benefits: detailed guide - GOV.UK (www.gov.uk)
To be eligible for maternity leave, employees must give you the correct notice and have an employment contract with the employer.
Information provided in this news article may be subject to change. Please make note of the date of publication to ensure that you are viewing up to date information.