Professional Accounting / Tax Technician Higher Apprenticeship Level 4

How is my business going to benefit from an Apprentice?

Fill your skills gaps: an Apprentice’s training is tailored to your organisation’s needs, resulting in a loyal, motivated work force Increase productivity by developing staff skills and expertise.

Value for money: a cost effective way to attract new talent and fresh eyes into your organisation.

Cost saving: we can advertise your vacancies and recruit the best candidates for your needs.

An industry recognised professional qualification can be built into the course which your apprentice will bring back to the business, providing value for money and a return on investment in their career as well as bringing back up to date knowledge from college.

What is expected of the employer?

When taking on an apprentice, there are certain expectations that must be met by the both the employer and the apprentice. As the employer, you are expected to:

• Pay the minimum wage for an apprentice
• Provide a full contract of employment for your apprentice
• Offer the same benefits package to your apprentice as other employees
• Arrange for a workplace mentor for your apprentice
• Deliver a safe working environment
• Ensure opportunities are made available to allow the learning of new skills and knowledge within the apprentice’s contracted working hours
• Ensure the apprentice is given opportunities within contracted working hours to develop maths and English skills, where a GCSE grade A-C (or higher) has not been previously attained

What will this cost my business?

Levy paying employers can access levy funds to pay for this programme, and our blended learning model can contribute to the 20% off- the-job training requirement.

What about support in the workplace?

Skilled and knowledgeable staff must be available to support the apprentice in the workplace.

Does the apprentice have to attend college?

College attendance where required will be communicated post-application and enrolment.

Why should I choose Colchester Institute to support my recruitment and retention?

Off-the-Job Training (OJT) is one of the key requirements for all apprenticeship standards.

Apprentices must spend 20% of their contracted working hours undertaking Off-the-Job Training, which is defined as “learning undertaken outside of the normal day-to-day working environment and leads toward the achievement of an apprenticeship.”

Off-the-Job Training must be directly relevant to the apprentice’s programme and teach them new knowledge, skills and behaviours that will help them reach competence in their occupation and ensure that apprentices are actively learning and working to attain the required knowledge and skills within their sector while enrolled in their placement program.

What does Off-the-Job Training Look Like?

Off-the-Job Training must account for at least 20% of an apprentice’s contracted working hours within their full-time employment as an apprentice.

This means that their time might be broken down like the below:

• 5 x 7 working hours in a day = 35 working hours in a week
• 52 working weeks in a year x 35 working hours = 1820 total working hours in a year
• 20% Off-the-Job Training requirement of the 1820 hours = 364 hours dedicated to OJT over the course of the apprenticeship
• This is also equivalent to the apprentice spending one day per week during their 12-month apprenticeship undertaking Off-the-Job Training

The above depends on their contracted working hours within the day and/or working week, as well as the length of their programme.

For example, Apprentices working more hours in the day and the week, as well as those whose programmes are longer than 12 months in duration, then their Off-the-Job Training requirement will still consist of 20% of their contracted hours but the total number of working hours and total time dedicated to OJT will be different the above.

Why is Off-the-Job Training Conducted within the Apprentice’s Contracted Hours?

An apprenticeship is a work-based programme, and any training that contributes towards an apprentice’s development should be included in their contracted working hours.

The Department for Education (DfE) has said that it would be unreasonable to expect an apprentice to undertake training that is part of their apprenticeship in their own time, therefore if training must take place outside of the apprentice’s working hours, then this should be recognised by both the Employer and Training Provider.

An example of this would be if an apprentice has to attend a 2-hour lecture scheduled after their working hours, then arrangements should be made by the training provider and employer for the apprentice to make up the time by leaving work 2 hours early.

What does Off-the-Job Training Include?

Off-the-Job Training can include a number of activities that can take place on or off the employer’s normal work premises.

If you are unsure of whether an activity can be regarded as Off-the-Job Training, the below questions form a useful point of reference:

• Is the activity directly relevant to the apprenticeship?
• Is the activity teaching new knowledge, skills and behaviours?
• Is the learning taking place in the apprentice’s contracted working hours?

If the answers to the questions are all yes, then this counts as towards OJT. These can include:

The Teaching of Theory

This can include lectures, role playing, simulation exercises, online learning, manufacturer training and so on. Teaching theory should help the apprentice better understand their role, the topics and subjects relevant to their role and their sector in more detail.

Practical Training

This can include shadowing, mentoring, industry visits, attendance at competitions and so on. This training should practically train the apprentice and teach them skills that they can use in their current job or in a future position.

Learning Support

This refers to learning support provided by the Employer or the Training Provider. Some apprentices may require more assistance in their programme to help them reach their best potential. This includes time spent conducting projects, writing assignments and so on.

Learning support counts towards OJT to ensure that all individuals have the support needed and that all barriers to education and training are removed. This could include:

• physical adjustments
• access to accessibility software
• additional revision classes
• personal support from their Training Provider.

Time spent on assignments is also included in OJT as new knowledge, skills and behaviours can be developed while completing them.

While OJT takes place outside of normal working duties, it is possible to undergo OJT at the apprentice’s workstation. For example, OJT could include learning to use a new machine or undertaking e-learning. While conducting this training, normal working duties should not be required of the apprentice.

Off-the-Job Training can also take place at home via distance learning. If there is a program of study that the apprentice can complete online that contributes to the completion of their apprenticeship, as long as the learning package is included as part of a blended learning programme, this can be counted as an OJT activity.

The activity that the apprentice undertakes is the main focus of OJT. As long as the OJT activity actively contributes to the completion of the apprenticeship, the location matters less than the activity itself.

Essentially OJT is Employers or Training Providers setting aside time for the apprentice to improve themselves, their knowledge and/or their skills.

Off-the-Job Training cannot include:

• Enrolment
• Induction, including any basic safety, compliance or diversity training
• Training to acquire knowledge, skills and behaviours that are not required in the standard or framework
• Progress reviews or on-programme assessment needed for an apprenticeship framework or standard
• Training which takes place outside the apprentice’s working hours*
• English and maths (up to level 2) which is funded separately
• Time spent on compulsory activities in the apprenticeship, including time spent on English and Maths qualifications

(*although, as mentioned before, there are exceptions if this time is made up within their working hours)

The government acknowledges that apprentices will inevitably want to spend time outside of working hours to familiarise themselves with their work. However, any personal initiative shown by the apprentice will not count towards Off-the-Job Training.

Any time that an apprentice takes to conduct OJT is counted towards their normal working hours. That means that if an apprentice is interested in undertaking training outside of their working hours, they should ask their Employer and Training Provider first and see if arrangements can be made to accommodate this.

Preparing for Off-the-Job Training?

It is the responsibility of the Employer and Training Provider to ensure that the apprentice spends 20% of their apprenticeship undertaking Off-the-Job Training. Completion of OJT must be documented and evidenced in order for the apprentice to complete the apprenticeship.

In order to comply with the funding rules, each apprentice should receive a commitment statement from the Employer/Training Provider outlining the program of training the apprentice will receive and how the Employer/Training Provider intends to spend the Off-the-Job Training time. The recipient of ESFA funding (usually the main provider) should keep, update and maintain the relevant files.

The ESFA will remain flexible about the type of evidence that should be retained and provided. They want Training Providers and Employers to use naturally occurring evidence where it is available. Many Training Providers have their own systems of collecting and storing evidence. Some examples of naturally occurring evidence might include:

• Apprentice timesheets
• Training logs
• Registers
• HR training systems

For more details and examples on how to proceed with Off-the-Job Training, you can click here to see the full OJT document from the Education and Skills Funding Agency.

Non-levy paying employers will need to contribute 5% of the maximum funding band as published by the Skills Funding Agency for the delivery of training and assessment for their apprenticeship. Levy paying employers will pay the full cost of the agreed funding band using their Digital Apprenticeship account.

Apprenticeship Funding Bands
Employers with less than 50 employees who are recruiting an apprentice aged 16-18 years old will not be required to pay the contribution fee. Any associated cost to the individual will be made clear at the interview.

How is the Apprenticeship funded?

Full government funding is available for an apprentice aged between 16-18 years old and where the employer employs less than 50 employees. Full funding is also available for apprentices aged 19 to 24 who have either been in care or has an education health care plan.

An employer contribution fee will be required for:

• Non-levy paying employers recruiting an apprentice aged 19 or over
• Non-levy paying employers who employ more than 50 employees and recruit a 16-18 year old apprentice

Payment plans and schedules  can be discussed with our apprenticeship Account Managers prior to signing contracts. For more information about apprenticeship contribution fees please contact one of our Apprenticeship Advisers on 01206 712043.

Financial Information and Support

Government support

Employers are not required to pay Class 1 National Insurance contributions for an apprentice, if the apprentice:

• is under 25 years old
• is on an approved UK government apprenticeship standard or framework (these can differ depending on UK country)
• earns less than £967 a week (£50,270 a year)

Employers with fewer than 50 people working for them will be able to train 16-18-year-old apprentices without making a contribution towards the costs of training. The government will pay 100% of the training costs for these individuals.

Funding

The government will pay employers, no matter what size, £1,000 for each 16-18 year old apprentice they employ.

Eligibility 

All employers are eligible for a £1,000 payment for taking on an apprentice who is either:

• aged 16 to 18 years old
• under 25 and has an education, health and care plan or has been in the care of their local authority

This £1000 payment will be paid to your training provider and you will receive it from them.

When you’ll get paid

We’ll send the payment in 2 equal instalments for each apprentice.

To be eligible, your apprentice must complete:

• 90 days of their apprenticeship for your first payment
• 365 days of their apprenticeship for your second payment

Once the apprenticeship information has been checked, we will process the payments.

Payments will be made on the 14th working day of the month, it can take up to 3 days for the payments to reach your account.

You can track when your payments are due to be paid on your view applications page.

We cannot send any payments until we’ve received and verified the organisation and finance details. This could take up to 80 days.

The apprenticeship levy
The levy was introduced on 6 April 2017 and is charged at a rate of 0.5% of an employers’ pay bill, paid through PAYE on a monthly basis.

Each employer has a levy allowance of £15,000, this is not a cash payment. It works in a similar way to the personal tax allowance and cannot be used to purchase apprenticeship training.

The impact of the allowance means that fewer than 1.3% of UK employers, those with an annual pay bill of more than £3 million, are liable to pay the levy. Employers in England who pay the levy
will be able to get out more than they pay in, through a 10% top-up to their online accounts.

An employer’s pay bill is made up of the total amount of the employees’ earnings that are subject to Class 1 National Insurance contributions, such as:

– wages
– bonuses
– commissions
– pension contributions

What about non-levy paying employers?

Employers with a pay bill of less than £3 million a year will not need to pay the levy.

At least 90% of non-levy paying employers’ apprenticeship training and assessment costs in England will be paid for by the government. The government will ask these employers to make a 5% contribution to the cost, paid directly to the provider, and the government covers the rest. This cost will be spread over the lifetime of the apprenticeship.

The government is offering additional support to organisations with fewer than 50 employees* by paying 100% of training and assessment costs for their apprentices aged 16-18 and for those aged 19-24 formerly in care or with a local authority education, health and care plan.