Embed Size (px)
Citation preview
Section 1REGISTRATION OF EM
PLOYMENT
i
NATIONAL INSURANCE ANDSOCIAL SECURITY SCHEMESecure your future by paying your NIS
www.nis.gov.bb - email: [email protected]
REVISED MARCH 2009
HANDBOOK FOR
E M P L O Y E R S
i
National Insurance and Social Security Scheme
Handbook for EmployersThis booklet gives general guidance only and must not be treated as a complete and authoritative statement
of the law on any particular case.
ii
Contents
Page
Registrationofemployment 1
Insuranceofemployees 2
ObtainingNationalInsurancecards 4
UsingContributionSchedulesandpayingcontributions 5
Additionalconditionsrelatingtopaymentofcontributions 15
RatesandContributions 18TheNationalInsuranceInspector 20
ContributionRates 23
CONT
ENTS
REGISTRATION OF EMPLOYM
ENT
1
Allemployers–whetherindividuals,soleproprietors,partnerships,com-paniesorothercorporations–arerequiredtoregisterwiththeNationalInsurance Office in order to obtain a registration number. That number is used as an identifier for National Insurance purposes. Once a number has been assigned, the employer would not be required to register again. However,ifthereisachangeofbusinessnameoraddress,pleasenotifythe National Insurance Office immediately. In the case of a change in busi-ness name, you are required to present the certificate from the Registrar of the Corporate Affairs and Intellectual Property Office as evidence of the change.
TheemployermustapplyforregistrationbycompletingtheEmployer’s Registration Form . Companies are required to attach to the form, a certifi-cateofincorporationwithArticlesofincorporationandnamesofdirectorsincluded and/or a certificate of registration from the Corporate Affairs and Intellectual Property Office. The name of the Manager/Managing Director should also be stated on the Employer’s Registration Form.
REGISTRATION OF EMPLOYMENT
Section 1
�
Who is an employee?
Inthisguideanemployeemeansanyoneinreceiptofwagesnotlessthantheminimuminsurableearning:
- underacontractofservice,eveniftheemploymentiscasual,part-timeortemporary;
- engaged by an employer including, for example, sugar workers,domestic workers, transport employees and public servants.
Directors of limited liability companies who hold office within the company may also be classified as employees. However, such persons should seek to have their classification determined by the National Insurance Board.
AllpersonsengagedinemploymentmustbeinsuredundertheNational Insurance and Social Security Act, Cap. 47. Section 12 of the Act, states thateverypersonwhoisover16yearsofageandunderpensionableageandisgainfullyemployedintheislandunderacontractofservicemustbe insured under the Act. Section 14 of the Act states that all persons in insurableemployment(regardlessofage)shallbeinsuredagainstpersonalinjurycausedbyaccidentarisingoutofandinthecourseofsuchemploy-ment. Employed persons over pensionable age are therefore to be insured for employment injury benefit.
Generally speaking, nationality makes no difference and contributionsmust be paid in respect of each employee whether the employee is Barba-dian or not. However, a person who does not reside in Barbados and has noplaceofbusinessherewillbetreatedasself-employedandthosenation-als of another territory employed in Barbados by the Government of that territory inadiplomaticormilitarycapacityarenot liable tobe insuredeither as self-employed or as employed persons.
Thegeneralruleisthatanemployermustpayforeachemployeewhether
INSURANCE OF EMPLOYEES
Section �IN
SURA
NCE
OF E
MPL
OYEE
S
�
the employee is employed on a full-time basis or not. There are, however, certainexceptionswhenanemployerisnotrequiredtopaycontributionsonbehalfofapart-timeworkerinanyweekinwhich:
(a)theworker’searnings,whencalculatedonajob,taskorpiece-workbasis,amounttolessthan$21inthatweekor$91permonth;or
(b)theworkerisemployedfor20hoursorlessandhisearnings,ifcal-culated by reference to time (i.e. by the hour, day, week) amount to less than $21 in that week.
Notwithstandingtheexceptionsabove,anemployerwillbeliabletopaycontributionsforaninsuredpersonfortheweekinwhichemploymentisterminated where this immediately follows a period in which contribu-tions were payable.
Employee Registration
Employers must submit an application to the National Insurance Office for each worker who is required to be insured. Additional information about this is found in Section 3 of this guide. In case of doubt, employers should seek assistance from the National Insurance Office.
Power of Decision
It is important to note that the National Insurance Board has the power to decideonquestionsregarding:
(a)whetheraperson’semploymentrendershim/her liable tobe in-sured;
(b)theclassorcategoryofinsuredpersonsinwhichapersonshouldbeincluded;
(c)whoisliableforpaymentofcontributionsastheemployerofthe insured person.
Thereisnorightofappealagainstsuchdecisionsexceptonapointoflaw,in which case an appeal shall be made to the Supreme Court.
Anemployerwho isuncertainas to theemploymentstatusofaworkershould seek a determination from the National Insurance Board. An em-ployeeshouldnotbereferredtoasaself-employedperson,anemployerwhoattemptstodothiswillbeliabletopayboththeemployeeandem-ployercontributions,plusinterest,forthepriorperiodswheretheemploy-er refers to the worker incorrectly.
Section �INSURANCE OF EM
PLOYEES
�
OBTAINING NATIONAL INSURANCE CARDS
Employers, on employing any person, except in a case where other ar-rangementshavebeenmadewiththeapprovaloftheNationalInsuranceBoard, should obtain from the employee his National Insurance card in ordertoverifyandentertheNationalInsurancenumberintheemployee’srecords.
InacasewheretheemployerhasnotobtainedtheNationalInsurancecardfromtheemployeewithinsevendaysofemployment,theemployermustobtaintheNationalInsurancenumberofthatemployeefromtheNationalInsurance Office within a further seven days.
Front
Back
Section �OB
TAIN
ING
NATI
ONAL
INSU
RANC
E CA
RDS
�
Since January 1987 the use of National Insurance contribution cards was discontinued and there was a change in the method of the collection ofNational Insurance contributions.
Payments continue to be made monthly on the forms provided by thedepartment. All employers other than those submitting computer list-ingswillusetheContributionsScheduletoreportemployeeearningsandmake payments. Those submitting computer listings will continue to use the Contribution Certificate (DP.10 Form).
Itshouldbenotedthatthereareseparateformsformonthswithfour(4)and five (5) Mondays. Employers desirous of submitting a computerised listing should seek clearance from the National Insurance Office on the format required before submitting the same. Only one (1) copy of a listing is required per month.
Everyemployerisrequiredtomaintainawagesbookorotherrecordofwages paid to employees. At the end of the month the employer should totaltheearningsandcontributionsforthemonthandmakeasinglepay-mentcoveringbothemployerandemployeecontributionsforalltheem-ployees. The payment should be made within 15 days after the end of the month. Employers must record particulars of earnings and contributions on the form provided. When the 15th of the month falls on the weekend, thepaymentmustbemadeonthefollowingbusinessday,failingwhich
USING CONTRIBUTION SCHEDULES AND PAYING CONTRIBUTIONS
Section �USING CONTRIBUTION SCHEDULES AND
PAYING CONTRIBUTIONS
�
interest will be charged.
Employers should ensure that the correct national insurance number ofeachemployeeisrecordedonthecontributionsscheduleorcomputerisedlisting. Non-inclusion of the national insurance number or use of the incor-rect national insurance number creates many problems for the NationalInsurance Office since the earnings cannot be recorded to the employee’s account.
Itisimportantthatemployersincludetherelevantcodeinthespacepro-vided for “type” on the Contribution Schedule.
Therelevantcodesareasfollows:
Private Sector
Employees(between16andpensionableage) Regular CodeR Employees(under16andabovepensionableage) EmploymentInjury CodeE Employees(apprenticedaccordingtolegislation) Apprentice CodeA Employees (not eligible for benefits) Levy only Code L Foreign Embassies & International Organisations
Employees (between 16 and pensionable age) Regular Code B Employees(under16andabovepensionableage) EmploymentInjury CodeC Employees (not eligible for benefits) Levy only Code Q
With respect to submission of employees’ earnings to the National Insur-ance Office, employers must round these earnings to the nearest dollar. Contributions and the Training Levy should not be rounded but must be calculated on the rounded earnings.
Section �US
ING
CONT
RIBU
TION
SCH
EDUL
ES A
ND
PAYI
NG C
ONTR
IBUT
IONS
�
Earningsand theassociatedcontributionsshouldnormallybeshown inthe month/months to which they relate. For example, holiday earnings paid in February, for holiday taken in March, must be shown as earnings in March.
Howeverbecauseoftheimpracticabilityofdoingthesamewithbackpay,productionandotherbonuses,whichmightcoveralongperiodinthepast,should be spread over the month in which the payment is made.
The following is importantwhendealingwithbonus/productivitypay-ments:
• Inrespectofmonthlypaidpersons,thepaymentshouldbeaddedtothenormalsalarypaidinthatmonthandcontributionspaidonthecombinedtotaluptothemaximuminsurableearningslimitasspecified in the Schedule to the National Insurance and Social Secu-rity (Collection of Contributions) Regulations.
• Forweeklypaidemployees,thepaymentshouldbespreadacrossthenumberofcontributionweeksinthemonthinwhichthepay-ment is made up to the maximum specified in the Schedule to the National Insurance and Social Security (Collection of Contribu-tions) Regulations.
Example: For December 2005 for a worker receiving $150 per week and a bonus of $300. Weekly contributions to be calculat-ed on the following:
No. of Mondays in December 2005 = 4 Weekly insurable earnings = $150 + (300/4) = $150 + $75 = $225.
Section �USING CONTRIBUTION SCHEDULES AND
PAYING CONTRIBUTIONS
�
Theemployerorapersonauthorisedbyhimmustsignthedeclarationandreturnbothcopies(originalandduplicate)ofeachscheduletotheNationalInsurance Office not later than the 15th day of the month following that to which it relates. The employer should retain the triplicate (white copy) for theirrecordssinceacopyoftheschedulewillNOTbereturnedtotheem-ployer. Copies of the Contribution Schedule together with guidelines for their completion can be obtained from the National Insurance Office.
The Schedule shouldbe completedand returnedeven thoughcontribu-tions may not have been paid for the employees.
Paymentofcontributionsmaybemade inpersonat theNational Insur-ance Office, Frank Walcott Building “Flodden”, Culloden Road, St Michael between 8.30 a.m. and 3.30 p.m., Monday through Friday or may be sent by mail. All payments by mail should be made by crossed cheque and pay-able to Director, National Insurance. No cash should be sent in the mail or deposited in the drop box. Failure to pay contributions at the proper time will result in interest being charged.
The normal contribution year of the Scheme runs from January to Decem-ber. Every employer should permit a person employed by him/her, to be shown evidence that contributions were paid on that person’s behalf. In addition,ifaninsuredpersonwishestoseetheContributionScheduleap-plicabletohim,theemployermustnotmorethanonceaquartergivehimreasonable opportunity to do so.Failuretopaycontributionsatthepropertimewillresultininterestbeingassessed against the employer and may also lead to prosecution.
Section �US
ING
CONT
RIBU
TION
SCH
EDUL
ES A
ND
PAYI
NG C
ONTR
IBUT
IONS
�
REPORTING OF INSURABLE EARNINGS
ReportingofinsurableearningsmustbecompletedontheContributionsSchedule for ALL EMPLOYEES.Asarule,allchangestoearningsmustbemadeontheContributionsSched-ule. Changes in respect of Computerised Reports must be accompanied by a note to the Director, National Insurance requesting the same.
Kindlynotethatseparateschedulesmustbeusedforeachreportingpe-riod. Also, each schedule must be completed with the Employer’s name and address, registration number.
Requirementsforsubmissionofcomputerisedinsurableearningsreportsby organizations classified as private sector employers
1. All employers desirous of submitting computerised earnings reports must complete fully an application form in duplicate. Both copies of the form must be returned to the Director, National Insurance Office, along with a specimen copy of the computerised report. The applica-tion forms are obtainable from the National Insurance Office or the website (www.nis.gov.bb). On receipt and processing of the application by the National Insurance Office, the employer will be notified by letter whether or not approval has been granted. Employers who have been grantedapprovalmustadheretotherequiredstandardsforallfuturesubmissions.
2. Earnings reports must be original and legible. Photocopies, carbon cop-ies or hand-written changes will not be accepted.
3. The employer’s name and National Insurance Registration number MUST be printed in the designated spaces at the top of each page.
Section �USING CONTRIBUTION SCHEDULES AND
PAYING CONTRIBUTIONS
10
USIN
G CO
NTRI
BUTI
ON S
CHED
ULES
AND
PA
YING
CON
TRIB
UTIO
NSSection �
If yo
u ar
e re
port
ing
earn
ings
for 1
to 6
em
ploy
ees,
a sm
alle
r fo
rm is
ava
ilAbl
e.
See
form
at p
age
34
Empl
oyer
s Pl
ease
Not
e
11
4. All pages of the report are to be numbered in sequence in the area pro-vided for page number.
5. The national insurance number or the national registration number of each employee must be printed in the columns provided for them. The nationalregistrationnumbermustbeprovidedwhenthenationalin-surance number is unknown.
6. The column headed ‘Earnings Type’ must contain the Letter ‘E’ for Em-ploymentInjurycontributors(employeesunder16oroverpensionableage), or ‘R’ for Regular contributors. For all other codes see page 6 of this handbook or visit our website at www.nis.gov.bb.
7. Employees who have no earnings for the period being reported must not appear on the report (i.e. if the total earning = 0).
8. For weekly paid employees, the earnings for each week are to be round-ed to the nearest dollar and reported in the appropriate week. The total earningscolumnforweeklyemployeesmustbethesumoftheindi-vidual weeks’ earnings. Where a weekly employee has no earning in a particular week, this must be represented with a zero (0).
9. The maximum insurable earnings for any week must not exceed the weeklymaximumstipulatedintheScheduletotheNationalInsuranceand Social Security (Collection of Contributions) Regulations.
10. The number of weeks in the month for which earnings are being re-ported must correspond to the number of Mondays in that month. This is standard regardless of the employer’s payment week or period. Em-ployersarerequiredtoadjusttheirreportingtoconformtowhatisthelegal requirement of NIS.
Section �USING CONTRIBUTION SCHEDULES AND
PAYING CONTRIBUTIONS
1�
11. For monthly paid employees, the weekly columns are to remain blank and the insurable earnings for the month reported in the total column. The earnings are to be rounded to the nearest dollar.
12. The maximum insurable earnings for monthly-paid employees must notexceedthemaximumstipulatedintheScheduletotheNationalIn-surance and Social Security (Collection of Contributions) Regulations.
13. Employees earnings must be reported either monthly or weekly. Re-ports containing FORTNIGHTLY earnings are not acceptable. Salaried employeesarepaidfor2-weekperiods;theearningsmustbereportedas earnings in the individual weeks of the paid period.
14. Earnings must be reported for the period in which they are earned, except where arrears and bonus payments are made.
15. Arrears of pay and bonus payments must be reported in the month of actual payment. In the case of weekly paid employees, such payments mustbespreadovertheweeksofthemonthinwhichpaymentismade,and added to the payments for each week. Contributions are payable onthemaximumfortheweekstipulatedintheScheduletotheNation-alInsuranceandSocialSecurity(CollectionofContributions)Regula-tions. For monthly paid employees, such payments must be added to the salary for the month in which payment is made. Contributions are payable on the monthly maximum stipulated in the Schedule to theNational Insurance and Social Security (Collection of Contributions)Regulations.
16. Holiday pay paid in advance, or payment in lieu of notice, must be reported and spread over the period for which the payment is made. Shouldsuchpaymentsextendintomorethanonemonth,theymustbereported on the reports for individual months. Where the employer
Section �US
ING
CONT
RIBU
TION
SCH
EDUL
ES A
ND
PAYI
NG C
ONTR
IBUT
IONS
1�
terminatesemploymentofanemployee,holidaypayshouldbeshownintheperiodpriortotheterminationdateunlessterminationistotakeeffect on the date after notice of termination is given.
17. The Insurable Earnings for weekly and monthly staff can be included in the same report for a given month. There is no need to submit sepa-rate reports for weekly and monthly staff.
18. The Employee and Employer contributions are to be listed in the col-umns provided. They are to be used as a reference, to ensure that the correct deductions are being made.
19. The cumulative insurable earnings and cumulative number of employ-ees must be stated at the bottom of each page.
20. The summary of all earnings reported and the contributions payable mustbelistedonaseparatepageintheformatgivenonthespecimen– See Appendix VII.
21. All reports must be submitted on 11” x 15” computer paper. Double spacing between printed lines must be used. Vertical printing must be six(6)linesperinch,andhorizontalprintingmustbeten(10)charac-ters per inch.
22. Reports must be aligned in such a manner that the perforation for page separation falls between the printed pages.
23. Reports that are submitted without complete information will not be accepted unless they are accompanied with written explanations.
24. Failure to comply with these requirements will result in the withdrawal of the permission granted to submit computerised reports. Such with-drawal will be communicated in writing. Employers will therefore be required to complete and submit manual Contribution Schedules.
Section �USING CONTRIBUTION SCHEDULES AND
PAYING CONTRIBUTIONS
1�
TERMINATION OF EMPLOYMENT
When an employee’s employment is terminated, the employer must give him/heronthedateofterminationofemployment,aTerminationofSer-vices/Lay-off Certificate duly completed. The employer must also send to the Director, National Insurance a copy of the certificate within a week of the date of the employee’s termination of employment. Copies of the ter-mination certificate are obtainable at the National Insurance Office.
Anemployerwhofailstocomplywiththisrequirementisguiltyofanof-fence and is liable on summary conviction to be fined.
Where an employer fails to pay contributions due within the stipulated time,inadditiontoanypenaltyforwhichheisliable,theemployershallpay interest at the rate of 1% per month on the unpaid contribution.
Section �US
ING
CONT
RIBU
TION
SCH
EDUL
ES A
ND
PAYI
NG C
ONTR
IBUT
IONS
1�
UndertheNationalInsurancelegislationtheemployerisentitledtorecov-ertheemployee’sshareofthecontributionbydeductionfromhiswagesfor the period for which the contribution is payable. If the employer fails tomakethesedeductionsatthetimethewagesarepaid,heisstillliablefor theentirecontributionandhasnorightata laterdate todeduct theemployee’s share of the contribution for any earlier period.
Where wages are paid in kind only, the employer himself is liable to meet thefullcontributionandisnotentitledtorecoveranypartfromtheem-ployee.
Anyemployerwhodeductsorrecoversorattemptstorecovertheemploy-er’s share of the contribution from the employee is guilty of an offenceunder the Act.
Acontributionispayablefortheweekinwhichtheemployeereachesage16,andthecontributionshouldtakeaccountofthetotalinsurableearningspayable in respect of that week.
A contribution is payable for the whole contribution week in which aninsured person reaches pensionable age. However, if the insured person reaches pensionable age on a Monday no contribution is payable for that week.
The employer should pay contributions for the period during which anemployeeisonholidayandreceivingremunerationoftwenty–onedollars
ADDITIONAL CONDITIONS RELATING TO PAYMENT OF CONTRIBUTIONS
Section �ADDITIONAL CONDITIONS RELATING TO
PAYMENT OF CONTRIBUTIONS
1�
($21)ormore,whethersuchremunerationispaidbefore,duringorafterthe holiday.
Acontributionisnotpayableforanyweekinwhichtheemployeereceivessickness or maternity benefit for that entire week. Where an employee is absentfromworkonaccountofillnessorformaternitypurposesandisnotentitled under the scheme to sickness or maternity benefit, as the case may be,butcontinuestoreceivesalary, theemployershouldcontinuetopaycontributions in the normal way.
Nocontributionispayablebyanemployerforanycontributionweekinwhichtheinsuredpersondoesnotworkandeitherreceivesnopayorispaid less than $21 per week or $91 per month.
Ifanemployeeisemployedbyanemployer(knownastheimmediateem-ployer)butisactuallyworkingunderthedirectcontrolandsupervisionofanotherperson(knownastheprincipalemployer)theprincipalemployeris deemed to be the employer liable to pay contributions. The employer whoactuallypaysthewagesshouldensurethattheemployee’sshareofthe contribution is deducted from the wages. Settlement between the “im-mediate” and “principal” employers may then take place.
When wages are paid in lieu of notice the employer is liable for the pay-ment of contributions for any period covered by the notice.
REFUND OF CONTRIBUTIONS
Refundofcontributionsarepayabletoemployerswhohaveoverpaidcon-tributions. Overpayment can result for example:
(a) When contributions have been paid at a rate other than that at which they should have been.
(b) Where contributions have been paid for an insured person during the period when that person is receiving benefits. In this case both theemployerandemployeearerefundedbutthepersonmusthave
Section �AD
DITI
ONAL
CON
DITI
ONS
RELA
TING
TO
PAYM
ENT
OF C
ONTR
IBUT
IONS
1�
received benefit for a full week from Monday to Saturday to qualify for a refund.
(c) When a contribution has been paid under the erroneous belief that itwaspayable,applicationforarefundmaybemadetotheNation-al Insurance Office. Application for refund must be made within twelvemonthsfromtheendofthecontributionyearforwhichthecontributions are paid.
Incaseswhereanemployeeworksformorethanoneemployer,eachem-ployer must pay contributions for the employee. If, in such cases, the total oftheemployee’sshareofthecontributionsforapayperiodexceedsthemaximum employee contribution payable for the period, the employeemay apply to the National Insurance Office for a refund of the excess con-tribution paid. There will be no refund of the employers’ share of the con-tribution in this instance.
ApplicationsforrefundofcontributionsshouldbemadeinwritingtotheDirector, National Insurance and should contain the following informa-tion:-
• nameandaddressoftheinsuredperson
• nationalinsurancenumberoftheinsuredperson
• nameandaddressoftheemployer
• registrationnumberoftheemployer
• the period for which the refund is being requested.
Section �ADDITIONAL CONDITIONS RELATING TO
PAYMENT OF CONTRIBUTIONS
1�
Schedulesofcontributionratesforvariousemployersareincludedinthishandbook. These schedules are designed to assist employers in calculating contributionspayableandtosimplifytheenteringofthecontributionsonthe schedules.
Theearnings,whichshouldbetakenintoaccountforthepurposeofcontri-butionstothescheme,shouldincludegrosswagesandallotherremunera-tionspaidincashorinkind,including:
(a)overtimepayments;(b)costoflivingbonus;(c)familyallowance;(d) supplement or reward for long service, industry or efficiency; (e) commission on sales or profits on sales;(f) gratuitiespaidoutbytheemployer;(g)dangerordirtmoney;(h)paymentsonaccountofnightorshiftwork;(i) productionbonuses;(j) paymentsinkind;(k)arrearsofsalary;(l) holidaypayormoniessetasideoutoftheinsuredperson’sremu-
nerationthroughouttheyearorpartofayeartobepaidouttotheinsured person periodically.
RATES AND CONTRIBUTIONS
Section �RA
TES
AND
CONT
RIBU
TION
S
1�
Incaseofpaymentsinkindtheprovisionof:
(i) one principal meal a day shall be evaluated at $2.50 a day;
(ii) two or more principal meals a day shall be evaluated at $5.00 a day;
(ii) free lodging shall be evaluated at $6.00 a week; and the evaluated amountshallbeincludedintheearningsfortheappropriateperiodfor which contributions are paid.
If there is any difficulty in determining the rate of pay for the purposes of contributions, the matter may be referred to the National Insurance Board for a decision.
CONTRIBUTIONS AND RECIPROCAL AGREEMENTS
Barbados currently has reciprocal agreements in place with Canada, Que-bec, the United Kingdom and CARICOM. Employers with employees trav-ellingtoorcomingfromanyofthesedestinationsforthepurposeofworkshould contact the National Insurance Office with regard to the payment of contributions.
VOLUNTARY CONTRIBUTIONS
A person on ceasing employment may apply to the National InsuranceBoard to become a voluntary contributor when he/she has paid at least 150 contributions as an employed or self-employed person. An application to become a voluntary contributor must be made to the Board within three months of ceasing employment. Such persons on becoming voluntary con-tributorscancontinuetocontributeforoldagecontributorygrantorpen-sion and survivors’ benefit only. The rate of contributions payable by a voluntary contributor is determined by the National Insurance Board. The relevant code for “type” when paying these contributions is ‘Z’.
Section �RATES AND CONTRIBUTIONS
�0
An inspector is an official who has been appointed by the National Insurance Board to perform the functions of inspection under the National Insurance and Social Security Act, Cap. 47.
Aninspectorhasthepowertoenteratallreasonabletimesanypremisesorplaces(exceptaprivatedwellinghousenotusedforatradeorbusiness)wherehe/shehasgroundsforsupposingthatapersonisemployed,andtomakesuchaninquiryasmaybenecessary:
(a)to ascertain whether the provisions of the National Insurancelegislationarebeingorhavebeencompliedwith;
(b)toexamine,eitheraloneorinthepresenceofanyotherperson,anymatter pertaining to the Act and may require information from every person whom he/she finds in such premises or whom he/shehasreasonablecausetobelievetobeortohavebeenaninsuredperson;andtorequireeverysuchpersontobesoexamined;
(c)toexercisesuchotherpowersasmaybenecessaryforcarryingtheNational Insurance legislation into effect.
(d)toinspectwagebooksandotherdocuments
THE NATIONAL INSURANCE INSPECTOR
Section �TH
E NA
TION
AL IN
SURA
NCE
INSP
ECTO
R
�1
Aninspector,onapplyingforadmissiontoanypremisesmust,ifrequired,produce the certificate of his/her appointment. An inspector’s certificate of appointmentshouldbeexaminedbeforeanydocumentsaredeliveredupto him/her from an employer’s custody.
Anyonewho:
(a)willfullydelaysorobstructsaninspectorintheexerciseofanyofhis/herpowers;or
(b)refusesorneglectstoansweranyquestionortofurnishanyinfor-mationorproduceanydocumentswhenrequiredtodosoisliableon summary conviction to a fine.
No one is required to give evidence tending to incriminate himself.
Theoccupierofthepremisesorplaceliabletoinspectionandanypersonwhoisorhasbeenemployinganypersonandtheservantsoragentsofanysuchoccupierorotherperson,andanyinsuredpersonshallfurnishthein-spectorwithsuchinformationandproducesuchdocumentsasaninspec-tormayreasonablyrequireinordertoascertainwhethercontributionsareorhavebeenpayableorhavebeendulypaidbyorinrespectofanyperson,or whether benefit is or was payable to or in respect of any person.
Section �THE NATIONAL INSURANCE INSPECTOR
��
Employers should realize that the National Insurance legislation placesconsiderable responsibility on them. This responsibility will, however, be easilydischargedifthesimpleruleshereunderarefollowed:
Employersi) Register with the National Insurance Officeii) Keepawagesbookiii) Paycontributionsonamonthlybasis;forallcategoriesofemployees
casual,seasoned,temporary,permanent,part-time,fulltimeiv) Submit the fully completed Earnings Schedule, Earnings &
Contribution Schedule or Computerised Report, whichever isappropriate,eachmonth;
v) Submit Termination of Services/lay-off Certificate promptly when terminationorlay-offoccurs;
vi) Cooperate with officials of the National Insurance Office, who are willingatalltimestorenderassistance;
vii) Inform the office of any change in the name of the business and/or any change in address of the business.
viii) Submit original or certified documents only.ix) Do not refer to employees as self-employed persons or you would
be liable for the payment of all contributions plus interest. The greaterthedegreeofcontrolthemorelikelyitisthatapersonwillbeanemployer,
e.g.: giving personal service, control over hours of work, method ofpayment,placeofwork,whetherapersonprovideshisowntoolsorequipment,whetherapersoncanbedisplinedor dismissed, whether the person can make a profit, whether thepersoncanwork forotherswhileperforminghis tasketc.
GENERAL
Section �GE
NERA
L
��
CONTRIBUTION RATES AND LEVIES PAYABLE
NATIONAL INSURANCE AND SOCIAL SECURITY ACTContribution Rates and Levies payable
Since January 1, 2003 the National Insurance contribution rate was in-creased by 1% per year for four years. This rate will be shared equally between the employer and the employee. As a result this shift will bring aboutanincreaseincontributionpayablebyGovernmentpermanentandtemporary employees, Private Sector employees, Apprentices, self-em-ployedpersons,Voluntarycontributorsandstaffofdiplomaticmissionsorconsulates of Barbados.
The Prime Minister in his Economic and Financial Statement in January 2006establishedaCatastropheFundtowhichworkersarerequiredtocon-tribute 0.1% of insurable earnings.
Pleasenotethatthenewratestookeffectfrom1stApril2006formonthlypaid employees and 3rd April 2006 for weekly paid employees.
ThenewratesofNationalInsuranceContributionsandothercollectionsofthe National Insurance Office will be as follows:
Government Permanent Employees – “P”
Funds and Levies Employee Employer Total % % %National Insurance 6.20 6.20 12.40Non-contributory 2.00 2.00 4.00Employment Injury 0.00 0.75 0.75Training Levy 0.50 0.00 0.50Catastrophe Fund 0.10 0.00 0.10
TOTAL 8.80 8.95 17.75
Section �
��
Government Temporary Employees – “T”Funds and Levies Employee Employer Total % % %National Insurance 6.75 6.75 13.50Non-contributory 2.00 2.00 4.00Unemployment 0.75 0.75 1.50Employment Injury 0.00 0.75 0.75Training Levy 0.50 0.00 0.50Catastrophe Fund 0.10 0.00 0.10
TOTAL 10.10 10.25 20.35
Government Over �� or Under 1� – “I” Funds and Levies Employee Employer Total % % %Employment Injury 0.00 0.75 0.75Training Levy 0.50 0.00 0.50Catastrophe Fund 0.10 0.00 0.10
TOTAL 0.60 0.75 1.35
Private Sector Employees – “R”Funds and Levies Employee Employer Total % % %National Insurance 6.75 6.75 13.50Non-contributory 2.00 2.00 4.00Unemployment 0.75 0.75 1.50Employment Injury 0.00 0.75 0.75Severance 0.00 0.50 0.50Training Levy 0.50 0.50 1.00Catastrophe Fund 0.10 0.00 0.10
TOTAL 10.10 11.25 21.35
Apprentices – “A”Funds and Levies Employee Employer Total % % %National Insurance 6.75 6.75 13.50Non-contributory 2.00 2.00 4.00Unemployment 0.75 0.75 1.50Employment Injury 0.00 0.75 0.75Training Levy 0.50 0.50 1.00Catastrophe Fund 0.10 0.00 0.10
TOTAL 10.10 10.75 20.85
Section �CO
NTRI
BUTI
ON R
ATES
AND
LEV
IES
PAYA
BLE
��
CONTRIBUTION RATES AND LEVIES PAYABLEPrivate Sector Employees Over �� or Under 1� – “E” Funds and Levies Employee Employer Total % % %Employment Injury 0.00 0.75 0.75Training Levy 0.50 0.50 1.00Catastrophe Fund 0.10 0.00 0.10
TOTAL 0.60 1.25 1.85
Self-employed – “S”Funds and Levies 2004 2005 2006 April 2006 Jan - Mar to Present % % % %National Insurance 11.50 12.50 13.50 13.50Non-contributory 2.00 2.00 2.00 2.00Training Levy 0.50 0.50 0.50 0.50Catastrophe Fund 0.00 0.00 0.00 0.10
TOTAL 14.00 15.00 16.00 16.10
Voluntary Contributors – “Z”Funds and Levies 2004 2005 2006 - Present % % % National Insurance 6.30 7.30 8.30Non-contributory 2.00 2.00 2.00
TOTAL 8.30 9.30 10.30
Foreign Embassies – “B”Funds and Levies Employee Employer Total % % %National Insurance 6.75 6.75 13.50Non-contributory 2.00 2.00 4.00Unemployment 0.75 0.75 1.50Employment Injury 0.00 0.75 0.75Severance 0.00 0.50 0.50Training Levy 0.50 0.00 0.50Catastrophe Fund 0.10 0.00 0.10
TOTAL 10.10 10.75 20.85 Foreign Service Help – “V”Funds and Levies Employee Employer Total % % %National Insurance 5.93 5.93 11.86Non-contributory 2.00 2.00 4.00
TOTAL 7.93 7.93 15.86
Section �
��
EMPLOYED PERSONSSCHEDULE OF CONTRIBUTION PAYABLE
ON INSURABLE EARNINGS
INSURABLE TOTAL EARNINGS EMPLOYEE EMPLOYER CONTRIBUTIONS 10.10% 11.25% 21.35%
1.00 0.10 0.11 0.21 2.00 0.20 0.23 0.43 3.00 0.30 0.34 0.64 4.00 0.40 0.45 0.85 5.00 0.51 0.56 1.07 6.00 0.61 0.68 1.28 7.00 0.71 0.79 1.49 8.00 0.81 0.90 1.71 9.00 0.91 1.01 1.92 10.00 1.01 1.13 2.14 11.00 1.11 1.24 2.35 12.00 1.21 1.35 2.56 13.00 1.31 1.46 2.78 14.00 1.41 1.58 2.99 15.00 1.52 1.69 3.20 16.00 1.62 1.80 3.42 17.00 1.72 1.91 3.63 18.00 1.82 2.03 3.84 19.00 1.92 2.14 4.06 20.00 2.02 2.25 4.27 21.00 2.12 2.36 4.48 22.00 2.22 2.48 4.70 23.00 2.32 2.59 4.91 24.00 2.42 2.70 5.12 25.00 2.53 2.81 5.34 26.00 2.63 2.93 5.55 27.00 2.73 3.04 5.76 28.00 2.83 3.15 5.98 29.00 2.93 3.26 6.19 30.00 3.03 3.38 6.41 31.00 3.13 3.49 6.62 32.00 3.23 3.60 6.83 33.00 3.33 3.71 7.05 34.00 3.43 3.83 7.26 35.00 3.54 3.94 7.47
Section �CO
NTRI
BUTI
ON R
ATES
AND
LEV
IES
PAYA
BLE
��
CONTRIBUTION RATES AND LEVIES PAYABLESection �
SCHEDULE OF CONTRIBUTION PAYABLE ON INSURABLE EARNINGS
36.00 3.64 4.05 7.69 37.00 3.74 4.16 7.90 38.00 3.84 4.28 8.11 39.00 3.94 4.39 8.33 40.00 4.04 4.50 8.54 41.00 4.14 4.61 8.75 42.00 4.24 4.73 8.97 43.00 4.34 4.84 9.18 44.00 4.44 4.95 9.39 45.00 4.55 5.06 9.61 46.00 4.65 5.18 9.82 47.00 4.75 5.29 10.03 48.00 4.85 5.40 10.25 49.00 4.95 5.51 10.46 50.00 5.05 5.63 10.68 51.00 5.15 5.74 10.89 52.00 5.25 5.85 11.10 53.00 5.35 5.96 11.32 54.00 5.45 6.08 11.53 55.00 5.56 6.19 11.74 56.00 5.66 6.30 11.96 57.00 5.76 6.41 12.17 58.00 5.86 6.53 12.38 59.00 5.96 6.64 12.60 60.00 6.06 6.75 12.81 61.00 6.16 6.86 13.02 62.00 6.26 6.98 13.24 63.00 6.36 7.09 13.45 64.00 6.46 7.20 13.66 65.00 6.57 7.31 13.88 66.00 6.67 7.43 14.09 67.00 6.77 7.54 14.30 68.00 6.87 7.65 14.52 69.00 6.97 7.76 14.73 70.00 7.07 7.88 14.95 71.00 7.17 7.99 15.16 72.00 7.27 8.10 15.37 73.00 7.37 8.21 15.59 74.00 7.47 8.33 15.80 75.00 7.58 8.44 16.01 76.00 7.68 8.55 16.23
INSURABLE TOTAL EARNINGS EMPLOYEE EMPLOYER CONTRIBUTIONS
��
CONT
RIBU
TION
RAT
ES A
ND L
EVIE
S PA
YABL
ESection �
SCHEDULE OF CONTRIBUTION PAYABLE ON INSURABLE EARNINGS
77.00 7.78 8.66 16.44 78.00 7.88 8.78 16.65 79.00 7.98 8.89 16.87 80.00 8.08 9.00 17.08 81.00 8.18 9.11 17.29 82.00 8.28 9.23 17.51 83.00 8.38 9.34 17.72 84.00 8.48 9.45 17.93 85.00 8.59 9.56 18.15 86.00 8.69 9.68 18.36 87.00 8.79 9.79 18.57 88.00 8.89 9.90 18.79 89.00 8.99 10.01 19.00 90.00 9.09 10.13 19.22 91.00 9.19 10.24 19.43 92.00 9.29 10.35 19.64 93.00 9.39 10.46 19.86 94.00 9.49 10.58 20.07 95.00 9.60 10.69 20.28 96.00 9.70 10.80 20.50 97.00 9.80 10.91 20.71 98.00 9.90 11.03 20.92 99.00 10.00 11.14 21.14 100.00 10.10 11.25 21.35 200.00 20.20 22.50 42.70 300.00 30.30 33.75 64.05 400.00 40.40 45.00 85.40 500.00 50.50 56.25 106.75 600.00 60.60 67.50 128.10 700.00 70.70 78.75 149.45 715.00 72.22 80.44 152.65 736.00 74.34 82.80 157.14 759.00 76.66 85.39 162.05 800.00 80.80 90.00 170.80 900.00 90.90 101.25 192.15 1000.00 101.00 112.50 213.50 2000.00 202.00 225.00 427.00 2500.00 252.50 281.25 533.75 3000.00 303.00 337.50 640.50 3100.00 313.10 348.75 661.85 3190.00 322.19 358.88 681.07 3290.00 332.29 370.13 702.42 3550.00 358.55 399.38 757.93 3720.00 375.72 418.50 794.22
INSURABLE TOTAL EARNINGS EMPLOYEE EMPLOYER CONTRIBUTIONS
��
EMPLOYER REGISTRATION FORM
�0
REGI
STRA
TION
FOR
M (F
RONT
)National Insurance DepartmentFrank Walcott Building"Flodden"Culloden RoadST. MICHAELTel: (246) 431-7400E-mail: [email protected]
1. Type or complete in BLOCK LETTERS.
2. Provide only ORIGINAL DOCUMENTS or ONLY THOSE CERTIFIED BY REGISTRY for Identification. (Photocopies are NOT ACCEPTABLE).
3. Documents required are
a) Birth Certificate & Barbados Identification Card OR Valid Passport. b) Marriage Certificate if Married.
c) Decree Absolute if Divorced d) Registry Documents if Change of Name
4. Submit completed form with supporting documents to: National Insurance Office, Frank Walcott Building, Culloden Road, St. Michael.
APPLICATION FOR A NATIONAL INSURANCE NUMBER(NATIONAL INSURANCE & SOCIAL SECURITY ACT)
District: Parish:
House Name: House Number/ Street:
Cellular No.:
E-mail Address:
NIS No.:
Male Female Single Married SeparatedDivorced Widowed
Nationality: Occupation:
Telephone No.:
1. First Name:
2. Middle Name:
3. Surname:
4. Other names by which known:
5. Maiden Name (if married):
6. If registered already, please state National Insurance No.(Once you have been issued with a National Insurance Number., that number remains yours for life.)
YEAR MONTH DAY
Date of Issue: YEAR MONTH DAY
(Please tick appropriate box) (Please tick appropriate box)
INSTRUCTIONS (NOTE: DO NOT SEND IMPORTANT DOCUMENTS BY MAIL)
ADDRESS
REGISTRATION FORM
National Insurance & Social Security Act, Cap 47
SEX
DATE OF BIRTH
COUNTRY OF BIRTH
MARITAL STATUS
CONTINUED ON NEXT PAGE >>
For Official NIS use only
Certificate No.:
BIRTH CERTIFICATE
National Registration No.:
BARBADOS ID CARD
Date of Issue: YEAR MONTH DAY
�1
REGISTRATION FORM (BACK)
Business / Employer's Registration No.:
Spouse's NIS No.:
Cellular No.:Telephone No.:
Date Self-Employment Commenced:
Do you currently employ anyone other than yourself?: YES NO
ADDRESS OF BUSINESS IF NOT SAME AS ABOVE
MARRIAGE CERTIFICATE
DECLARATION:I declare that the information given is true to the best of my knowledge and belief.
Other Identification Documents (Affidavit, Deed Poll, etc.)
SELF EMPLOYED PERSONS ONLY
FOR OFFICIAL USE ONLY
EMPLOYERS INFORMATION
PASSPORT
Signature of Applicant:..............................................................................................................
Signature of Employer:...............................................................................................................................................
Signature of Employer:...............................................................................................................................................
Prepared by:............................................................. ...........................................................
Any person who knowingly makes any false statement or false representation or who produces or furnishes or causes or knowingly allows to beproduced or furnished any document or information which he knows to be false commits a criminal offence punishable by a fine or imprisonment.
Spouse's Name:
Country of Marriage:
Number: Country of Issue:
Number:
Address of Employer:
Name of Business:
Nature of Business:
District: Parish:
Office/ Residence #:
Number:
Date Issued
Street:
Name of Officer (BLOCK)
Document Checked by:................................................. ...........................................................Name of Officer (BLOCK)
Signature of Officer
Signature of Officer
Date of Issue: YEAR MONTH DAY
Date of Issue: YEAR MONTH DAY
Date of Marriage: YEAR MONTH DAY
Expiry Date: YEAR MONTH DAY
YEAR MONTH DAY
YEAR MONTH DAY
YEAR MONTH DAY
YEAR MONTH DAY
9
��
EARN
INGS
SCH
EDUL
E FO
RMS
(ORI
GINA
L, A
MEN
DMEN
T &
ADD
ITIO
NAL)
��
EARNINGS SCHEDULE FORMS
(ORIGINAL, AMENDM
ENT & ADDITIONAL)
��
EARN
INGS
SCH
EDUL
E FO
RM �
& �
MON
DAYS
��
COMPUTERIZED EARNINGS REPORTS APPLICATION
��
COM
PUTE
RIZE
D EA
RNIN
GS R
EPOR
TS A
PPLI
CATI
ON
��
TERMINATION OF SERVICES CERTIFICATE
NATIONAL INSURANCE AND SOCIAL SECURITY ACT, CAP. 47TERMINATION OF SERVICES / LAY-OFF CERTIFICATE
(See overleaf for explanation of Termination of Services)Under Regulation 47 of the National Insurance and Social Security (Benefit) Regulations
PARTICULARS to be completed by Employer and given to Employee on date of termination.
CONTINUED OVERLEAF
If yes, state reason for termination:
Was claimant laid-off? Yes No
Yes No
Date employment commenced:
EMPLOYMENT DETAILS
Was employee terminated? year month day
Employer Registration No.
Name:
Address:
Email:
Telephone: Fax:
EMPLOYER DETAILS CLAIMANT DETAILS
National Insurance No.:
Occupation:
State the date of lay-off: Expected date of re-employment:
Postal Code
Name:
Address:
Email:
Telephone: Fax:
Postal Code:
If yes, state reason for lay-off:
If this example applies, state date of termination.
Gross Amount of Holiday Pay: $ ..............................................
Example 1 Example 2
Date of Termination:
If this example applies, state date of termination.
Date of Termination:
Gross Amount of Holiday Pay: $ ..............................................
Is claimant receiving or entitled to a pension from you? If yes, state date pension begins.
NationalReg. No.:
Date o f termination: Employer t erminates John B rown on May 31st and pays him monies due, including holiday pay and payment in lieu of notice. (Employers should not deduct N IS f rom payment in lieu of notice). May 31st would be the date to use for termination.
year month day
Date o f termination: On M ay 31st employer gives John Brown one month's notice o f termination, i ncluding salary for the month of June as well a s holiday pay and any other monies due. (John Brown is still employed but w ould not b e required to r eport for work during June). In this case, June 30th would be the date to use for termination. If period of notice is longer or shorter, use end of period as date of termination.
year month day
year month day
year month day year month day
U32006A
Form U3 (Revised 2006)
��
TERM
INAT
ION
OF S
ERVI
CES
CERT
IFIC
ATE
DateSignature of Employer
I declare that the information given in this form is true to the best of my knowlege and belief.
DECLARATION
Warning: Any person who knowingly makes a false statement or representation commits an offence and is punishable by a fine or imprisonment or both.
Frank Walcott Building, Culloden Road, St. Michael - Tel: (246) 431-7400 - Fax: (246) 431-7408 - Website: www.nis.gov.bb
Was claimant dismissed because of his / her own misconduct?
If yes, explain the misconduct that occurred.
Did claimant voluntarily leave your employment?
Has claimant become unemployed because of stoppage of work attributable to a labour dispute at your workplace?
If yes, state whether the employee is / was participating in a strike.
Give any other relevant details:
Termination of ServicesWhere an employer terminates the employment of an employee or where the employee leaves h is employment, the employer MUST g ive a Termination of S ervices/lay-off Certificate to t he e mployee and s end a c opy t o National I nsurance Office within one w eek o f the date of termination. A n employee w ho w ishes t o claim Unemployment B enefit M UST s ubmit t he C ertificate with h is c laim. A Termination of Services/lay-off Certificate must be given to the employee even if he/she was only employed for a day or part thereof.
PenaltyFailure to provide Employee with Termination of Services/ Lay-off Certificate within one week of termination will result in a penalty.
Regulation 47 (5) of the Benefit Regulations provides that the penalty is $1,000 for failing to comply with the requirements, where the contravention continues o r the failure c ontinues a fter conviction, t he penalty i s $1,000 t ogether w ith a f urther $200 f or each day o n which the o ffence is continued.
Was holiday pay given to employee who was laid-off?
State period for which the employee was given holiday pay From: to
Gross Amount of Holiday Pay: $ ........................................Ye��= No
Ye��= No
Ye��= No
Ye��= No
Ye��= No
Form U3 (Revised 2006)
year month day
year month day year month day
National Insurance OfficeFrank Walcott Building, Culloden Road, St. Michael
Telephone: ��1-��00
