Money Saving Expert has urged workers to check their payslips following the minimum wage increase that came into force on April 1, warning that hundreds of thousands of people could be missing out on pay they are legally entitled to.
Figures from the Low Pay Commission show 445,000 workers were underpaid in 2024.
The National Living Wage now stands at £12.71 an hour for those aged 21 and over.
Money Saving Expert said the rise gives workers a timely opportunity to ensure they are being paid correctly, noting that nearly 400 employers have recently been named by the Government for failing to meet minimum wage rules, including Costa Coffee, B&M, KPMG and Bupa.
One of the most common causes of underpayment is job‑related costs such as uniforms, tools and safety equipment.
The site warned that employers must ensure these expenses do not push pay below the legal minimum, regardless of how the costs are covered.
It also highlighted issues around unpaid working time.
Hours spent on overtime, security checks, handovers, opening duties and time on call must all be included when calculating hourly pay.
Martin Lewis’ MSE urges workers to check payslips after minimum wage rise
|Martin Lewis/ITV
Training time, travel between work locations and preparation work should also be counted.
Money Saving Expert stressed that tips cannot be used to top up wages to meet minimum pay requirements — gratuities must be paid on top of base salary.
The same applies to commission‑based roles, where employers must ensure minimum wage is met regardless of sales performance.
Accommodation arrangements can also affect pay calculations.
Employers can only offset up to £77.70 per week against wages for housing; any additional charges must not reduce pay below the minimum threshold.
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The organisation added that some workers on apprentice rates may be entitled to higher pay if they are not receiving structured training
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Those who identify underpayment could be eligible for up to six years of backpay.
Money Saving Expert advised employees to raise concerns informally with their employer or payroll department where possible.
If unresolved, workers can submit a formal complaint, seek support from a trade union, or contact ACAS for guidance.
Complaints can also be made to HM Revenue and Customs (HMRC), which has powers to recover unpaid wages and take enforcement action. Workers may choose to remain anonymous, although allowing HMRC to make contact can help investigations.