Starting in April 2013, HMRC will be requiring employers to submit payroll information in real time (RTI) rather than making an annual submission after a tax year has ended. From April 2013 a submission to HMRC needs to be made at or before the time of payment to employees, so this may be a weekly or monthly activity depending on the frequency of the payroll runs.
Before the new tax year starts on 6th April 2013, it is important to get prepared; if an employer is running their payroll in-house they need to check that the software is RTI compliant or if the payroll is outsourced that the payroll provider is ready for RTI.
As part of the preparation for RTI, employers need to ensure that they have accurate and upto date information about all their employees including:
- date of birth
- national insurance number
Employee names should be their legal name and include any middle names. For example if a Frederick Simon Smith is currently included as Fred S Smith, the name should be amended to his full name.
From the 6th April 2013 additional information will need to be reported to HMRC as part of the payroll such as
- hours worked
- employee information for temporary, casual workers and employees paid below the national insurance Lower Earnings Limit (LEL)
The information submitted by employers (or their payroll providers) will mean that HMRC will hold current information about earnings and so there should be fewer incorrect tax codes for individuals. This information will also be used to assess payments under the new Universal credits. All employers regardless of their size will be required to operate RTI during 2013-14.
Recently Cohub opened to provide a collaborative working space for businesses based in and around Eastbourne. We have used their meeting room for meetings and have been impressed with the space and facilities they have in the town centre.
During November, Cohub will be running a series of Knowvember workshops at lunchtimes on a variety of topics. We have been asked to do a workshop and will be looking at some of the common areas HMRC look at to establish if someone is an employee or self employed.
For further details of the workshops and to make a booking, please click the image below:
We hope to see you at our workshop on 28th November.
The UK National Minimum Wage increases on 1 October 2012 for workers aged 21 and over and apprentices.
From 1 October 2012 the hourly rates are as follows
£6.19 – workers aged 21 and over
£4.98 – workers aged 18-20
£3.68 – workers above school leaving age – aged 16 – 17
£2.65 – apprentice rate for apprentices aged under 19 or if aged 19 or over and in their first year of their apprenticeship.
We recently took part in the Eastbourne Chamber of Commerce Quiz night with our friends from NX Photo (www.nxphoto.co.uk) and Recruitment South East Ltd (www.recruitmentsoutheast.co.uk) . An enjoyable evening that gave us a chance to catch up with other members of the Eastbourne Chamber and we are delighted to report that we were part of the winning team!
Eastbourne & District Chamber of Commerce have kindly given permission to use this image.
Fiona Hill of AFH Payroll Solutions Ltd receiving the winners shield from Mike Reid of Reid+Dean Chartered Surveyors & Estate Agents.
Eastbourne & District Chamber of Commerce arrange a variety of events for local businesses and more information is available on their website www.eastbournechamber.co.uk.
During 2011 we found out about some of the great work done by The Children’s Respite Trust and so we have decided that we will support this charity during 2012.
The Children’s Respite Trust is a registered charity that supports children with disabilities and their families by helping them to get a break. For more information about their work see their website:
In addition to our donations, during the year we will regularly mention The Children’s Respite Trust on Twitter and they tweet as @ChildRespite . If you are on Twitter, please do think about following them and tweeting with them. This is one of the many ways that you can help raise awareness of their valuable work in Sussex.
If you would like to make a donation or find out more about The Children’s Respite Trust please do take a moment to visit their website.