Running Payroll

Getting your payroll dates wrong can cause unexpected tax bills for your employees and create unnecessary admin work. The key is making sure the payment date you report to HMRC on your Full Payment Submission (FPS) matches the actual date your employees are paid—not the date you processed the...

5 min read

National Insurance contributions (NICs) are deducted from employees' wages alongside income tax, with both the employee and employer paying their share. Understanding the thresholds, rates, and category letters that apply to your workforce is essential for running payroll correctly and avoiding...

5 min read

If you employ anyone repaying a student or postgraduate loan, you're responsible for deducting the correct amount from their pay each time you run payroll and reporting it to HMRC. The plan type determines the earnings threshold and repayment rate, so it's important to identify which plan applies...

5 min read

Making mistakes in payroll happens, but it's important to know how to correct them properly to avoid problems with your PAYE bill and ensure your employees' records are accurate. This guide explains what to check when something looks wrong, how to submit corrections through yo...

5 min read

If you pay your employees in shares, cryptocurrency, precious metals, or other non-cash forms, you still need to calculate and deduct PAYE tax and National Insurance contributions. These payments count as "readily convertible assets" and must be processed through your payroll...

5 min read

Salary sacrifice schemes allow employees to give up part of their cash salary in exchange for non-cash benefits, which can reduce both Income Tax and National Insurance contributions. However, rules introduced in April 2017 changed how most benefits are taxed under these arrangements, meaning...

5 min read

If your business receives tips, gratuities or service charges, you need to understand when tax and National Insurance are due and what your responsibilities are as an employer. How these payments are taxed depends on who receives them, how they're distributed, and whether you...

5 min read

As an employer, you must report payroll information to HMRC in real time using Real Time Information (RTI). This means submitting details of your employees' pay, deductions, and benefits on or before each payday through a Full Payment Submission (FPS). This guide explains what...

6 min read