Donna Hunt

Costs breakdown for Change of Employer

Edited

Good morning,  

Can anyone advise how they calculate the full TNP cost breakdown after there has been a change of employer and you have the residual TNP's?  

We have the full TNP1 breakdown at the start obviously but we had a learner pulled up in mock audit for showing the breakdown of the full TNP1 on the new employer agreement and not the breakdown of the residual TNP3 following the change of employer.

Thank you

 

 

Replies

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Ruth Canham-James

For the residual, our TNP4 is usually the same as the TNP2 (as the assessment price didn't change), and TNP3 is what is left of the total residual price.

Donna Hunt

Hi Ruth, thank you for your reply. 

This is the same as we do to calculate the new overall TNP, however, it's the eligible costs breakdown on the employer agreement that was brought into question. 

How do you calculate the breakdown of the eligible costs which make up the TNP3 when the learner changes employer part of the way through the course?

Simon Molineaux-Inglis

As I understand it, here is an example

Start date 15/03/2023, practical period end date 15/03/2026. Count of months Total = 36

COE date 15/04/2024

Start Date 15/03/2023 - COE date 15/04/2024. Count of Months = 13

Residual is 36-13 = 23 (Made up of TNP3+4)

This is based on the Endpoint assesment cost not changing, for instance Mortor vehicle standard changing from City and guilds to IMI

Hope this helps

Ruth Canham-James

Simon Molineaux-Inglis It's important to remember that 23 months residual is just from the 80% on-programme payments. You can't include the 20% completion in that calculation as that's not you get paid. That's why I don't work it out like that. In your example, if the original price was £10k (and assuming band max was also £10k):

£10k x 0.8 = £8k

£8k / 36 months = £222.22 (recurring)

£222.22 x 13 = £2,888.89 (which is how much funding/con-investment you should have had by the CoE)

£10k - £2,888.89 = £7,111.11 (how much is left in the band)

We'd always round that down to the nearest whole pound, and probably down to £7,110 in this case. If the original price split had been £9,400 training and £600 assessment, that would now be £6,510 training and £600 assessment still.

Simon Molineaux-Inglis

Thank you for your reply :)