FTPay: Stay Compliant with our Payroll Services

FTPay: Stay Compliant with our Payroll Services

Ensuring compliance with payroll regulations is not just a legal obligation; it’s the cornerstone of a well-functioning business. From tax obligations to employee benefits, the complexities of payroll management can often become overwhelming. However, with the right knowledge and resources, businesses can navigate these challenges effectively, whilst staying compliant.  

At Fiander Tovell, we offer outsourced payroll services that are designed to shoulder this burden for businesses up and down the country. We help to streamline their payroll processes, ensuring that they meet regulatory demands and, most importantly, paying their employees on time!  

Although we take the complexities of payroll compliance away from you, if you choose to outsource to us, there are still a few things you must do to ensure seamless operations on both sides.  

“What do I need to do?”, you might be wondering – we’ve compiled our top tips, so that, together, we can keep your business compliant!  

Accuracy – not approximation 

To process payroll accurately, we heavily rely upon up-to-date employee information. This may seem obvious but it’s very important. As a business, it is your responsibility to maintain all records for the entire duration of each employee’s tenure. This means accurately updating any personal information, which can change regularly – this information is likely to affect your payroll. 

We need to be kept up-to-date throughout the year to ensure all your employees receive the correct wages. This can range from bonuses, salary increases, maternity leave, etc. No matter what the change, you must keep an accurate record. This not only helps us to manage your payroll, but should you be subject to an investigation, you have all the records to prove your compliance.  

Managing Employee Expectations  

As an employer, it’s crucial to ensure that your employees understand what is required from them regarding payroll. This can be a variety of things, but the most common areas are company expenses and overtime. This may involve implementing a process for employees to record expenses and overtime properly. Whether you implement an automated system or explain how to document it, it is essential employees understand the policies and practices that affect their pay.  

Implementing these clear guidelines can deter employees from providing inaccurate information which will reduce errors in additional payments. 

Stay informed 

Legislation is an ever-changing scope, and you need to stay aware of any updates. Following on from the Spring Budget, there were a few changes that will affect payroll. Some of the headlines included a 2p cut to National Insurance and an increase to National Minimum Wage 

These changes will obviously impact your employees’ gross pay, hence why it’s essential you stay on top of any updates from HMRC. If not, you will be at risk of being penalised. We understand that staying up to date with any updates can feel like a juggling act. That’s why our team at FTPay are a great solution for businesses that don’t have a dedicated payroll team. With our expertise, we ensure all updates are implemented, allowing you to focus on core business operations with peace of mind.  

Making FTPay work for your business 

To fully benefit from our services, we conduct a thorough assessment of your payroll processes and requirements. We tailor our services to meet your specific needs, providing customised solutions that align with your business objectives. We have specific deadlines throughout the month for our clients to submit their monthly payroll data, so that we can process payroll with accuracy and compliance. You can find our payroll calendar here, with a full breakdown of dates throughout the tax year.  

Our goal is to simplify payroll compliance for your business, allowing you to focus on core operations, while we handle the complexities of payroll. With FTPay, you can rest easy knowing your payroll is in safe hands. 

If you require any further advice, or would like to enquire about our services, please do not hesitate to get in contact with our Commercial Client Director, Fabrice Legris at fabrice.legris@fiandertovell.co.uk  

Navigating the National Minimum Wage Changes

Navigating the National Minimum Wage Changes

As businesses are preparing for the upcoming changes to National Minimum Wage (NMW), staying compliant with such wage regulations are paramount. In turn, outsourcing your payroll services will keep your business compliant to ensure you have experts in dealing with matters to avoid any fines.  

As of 1st April 2024, these significant national minimum wage changes will be introduced by the government aiming to ensure fair compensation for workers across different age groups and employment statuses.  

While this is great news for employees, it is important that you’re prepared for the financial impact of your new NMW obligations. As part of our outsourced payroll services, we provide a seamless transition into the new NMW rates, ensuring your compliance with uniformed changes. By partnering with a reputable payroll provider like FT Pay, businesses can navigate NMW changes seamlessly.  

Let’s delve into the specifics of the imminent NMW rates and what they mean for your company’s payroll. 

Age-Based Minimum Wage Rates: The NMW rates in the UK are structured based on age brackets, with different rates applying to different age groups. Here’s a comparison between the current and upcoming rates: 

Ages Before (Current) After (1st April 2024) 
23 and over (NLW) £10.42 £11.44 
21-22* £10.18 £11.44 
18-20 £7.49 £8.60 
Under 18 / Apprentice £5.28 £6.40 


*
Starting from 1st April 2024, workers over the age of 21 will be entitled to the National Living Wage (NLW). 

Our team of experienced payroll operators are on hand to help you navigate any changes and meet your statutory obligations to ensure that your workforce is paid accurately and on time. Considering outsourcing your payroll to us? Find out more about our in-house payroll bureau here.  

As part of FT Pay, our in-house payroll bureau, we have experienced payroll operators who will assist you in navigating the NMW changes. This will ensure you meet your statutory obligations by paying staff the updated amount. FT Pay also includes several other beneficial services that can streamline processes to make sure your business receives the comprehensive support that goes beyond compliance with NMW changes.  

To get in touch about outsourcing your payroll or to enquire about the new NMW update, please don’t hesitate to get in touch with our Commercial Client Director, Fabrice Legris, at @fabricelegris@fiandertovell.co.uk  

Payroll Compliance: Our advice for a smoother process

Did you know that we have our own in-house payroll bureau here at Fiander Tovell? Yes, that’s right, FTPay is on hand to assist companies with the maintenance of their payroll, help them to meet statutory obligations, and ensure that their employees are paid in a timely manner. All we need to know is the monthly gross pay of each employee, along with any commissions or adjustments required for that month – then we can do the rest.

Although we take the bulk of the payroll process out of your hands, there are still a few things that you need to stay on top of so that, together, we can remain compliant. But what is it exactly that you need to do? We’ve collated some of our top tips to help employers get the payroll process right.

 

1. Organisation is key…

A disorganised payroll process will negatively impact the rest of your organisation. Having a game plan in place year-round will help to establish a consistent routine for meeting tax deadlines, submitting timesheets, and making payments.

Similarly, there will be changes throughout the year that are your responsibility to inform your payroll provider about. We will need to know about any changes to your employees’ wages, so that we can make sure they receive the correct payment. For example, if there are any changes to an employee’s pay, due to a pay rise or change in their working hours.

We would also recommend using an audit trail. Should you be subject to an investigation, this will help to protect the integrity of your business. Your payroll software may even have such a functionality installed already. Audit trails allow you to link transactions with the required supporting information, to validate any payments that may otherwise raise concern.

 

2. Do you know the legislation?

Payroll legislation is always changing, and you need to make sure you’re aware of any updates. In seasonal statements and budgets from HMRC, there are often updates to payroll related legislation. Income Tax, National Minimum Wages and pension allowances are just three things that changed in April 2023, with a knock on effect on your payroll process!

Speaking of pension allowances…

As an employer, you must offer a workplace pension scheme by law, which can be paid into by you, the employee and the government.

You should also automatically enrol employees into the pension scheme, should all of the following apply:

  • they’re classed as a ‘worker’
  • they’re aged between 22 and State Pension age
  • they earn at least £10,000 per year
  • they usually work in the UK

If you don’t have to enrol an employee automatically, then they can ask to join the scheme and you cannot refuse. You do not have to contribute, though, if they earn these amounts or less:

  • £520 a month
  • £120 a week
  • £480 over 4 weeks

As part of the company pension scheme, you must:

  • pay at least the minimum contributions to the pension scheme on time
  • let employees opt out if they ask
  • let employees re-join the scheme at least once a year if they have opted out
  • enrol employees back in at least every 3 years if you’ve opted out and are still eligible for automotive enrolment.

It’s important that you’re aware of which employees are on your pension scheme, how this impacts their gross pay, and how much you’re required to contribute each month.

 

3. Do your employees know what’s required of them?

There are certain elements of payroll that may be down to information provided by employees – for example, expenses and overtime. It’s important to not only have rigorous policies in place for expenses and overtime, but also to make sure that your workforce is aware of these. These will hopefully discourage employees from misleading you, and will help to avoid inaccuracies in extra payments.

Similarly, it’s also valuable to have strict deadlines for submitting forms such as expenses and overtime, so that you can then process them in time for month-end payments.

At Fiander Tovell, FTPay wants to help you achieve a smoother payroll process within your company.

If you require any further advice, or would like to enquire about our services, please do not hesitate to get in touch at payroll@fiandertovell.co.uk.

 

You can find our latest accounting and payroll advice here!