Change to Employment Allowance

Bevan & Buckland AccountantsAs of the 6th April 2016, selected companies across Wales will no longer be entitled to claim Employment Allowance. As a specialist in payroll, Swansea accountancy firm Bevan & Buckland has provided essential advice on how the changes could affect businesses from various industry sectors.

TinaBB_001_1The legislative update applies to one director limited companies, not one director only on the payroll, receiving a salary above the Secondary Threshold for Class 1 National Insurance contributions, which sits at £156 per week for the 2016/17 tax year. “It’s important to note that the change to this eligibility criteria only affects limited companies, meaning self-employed individuals will be unaffected. If you are affected by the changes however you must take steps to stop your Employment Allowance claim at the start of the tax year. This adjustment can be made using your payroll software,” said Tina Davies, Payroll Manager at Bevan & Buckland and Chartered Institute of Payroll Professionals Member.

To stop your claim simply select ‘no’ in the ‘Employment Allowance indicator’ field of the payroll software, and submit an Employment Payment Summary (EPS) to HM Revenue & Customs (HMRC). These changes will not affect any claims made in previous years.

“After your software has been updated and HMRC informed, you must ensure you pay the full amount of employer Class 1 National Insurance contributions (NICs) without deducting the Employment Allowance. Should the circumstances of your organisation change with more than one employee or director earning above the Secondary Threshold, your claim can be processed and Employment Allowance applied for the entire tax year, even if these changes come into effect during the tax year,” concluded Tina.

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

 

New Dividend Allowance will affect PAYE tax codes

Bevan & Buckland AccountantsNew Dividend Allowance will affect PAYE tax codes

From 6 April 2016 the Dividend Tax Credit will be replaced by a new Dividend Allowance in the form of a 0% tax rate on the first £5,000 of dividend income per year. This tax will be collected automatically through PAYE in most cases.

As announced in the Summer Budget 2015 a new Dividend Allowance in the form of a 0% tax rate on the first £5,000 of dividend income per year is to replace the Dividend Tax credit from 6 April 2016. HMRC’s Policy Paper provides details:

UK residents will pay tax on any dividends received over the £5,000 allowance at the following rates:

  • 5% on dividend income within the basic rate band
  • 5% on dividend income within the higher rate band
  • 1% on dividend income within the additional rate band

Dividends received on shares held in an Individual Savings Account (ISA) will continue to be tax free.

The finance Bill This legislation will modernise, reform and simplify dividend taxation. Only those with dividend income over £5000 per year, or those who are able to pay themselves dividends in place of wages, will pay more tax.

The majority of non-taxpayers and basic rate taxpayers do not currently need to inform HM Revenue and Customs (HMRC) of their dividend income. From April 2016, individuals who receive dividends between £5,001 and £10,000, and who need to pay tax on those dividends at the basic rate, will have to inform HMRC of their dividend income for the first time. This number is estimated to be fewer than 8,500 customers. (Individuals with more than £10,000 of dividend income are already required to be in Self Assessment).

Around 2 million individuals are expected to have some tax to pay on their dividend income after April 2016, compared to 1.8 million if these reforms had not been put in place. This tax will be collected automatically through PAYE in most cases, although further details will be published in good time ahead of any tax being due.

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

Automatic enrolment contribution increases delayed

Bevan & Buckland AccountantsAutomatic enrolment contribution increases delayed

The Chancellor announced in the Spending Review and Autumn Statement 2015 that the Government is aligning two scheduled increases in the minimum level automatic enrolment contributions with the start of the tax year.

To simplify the administration of automatic enrolment for the smallest employers in particular, the next two phases of minimum contribution rate increases will be aligned to the tax years. Instead of increases taking place in October, they will now occur in April of the following year.

Under the current timetable minimum level contributions are scheduled to rise from 2% to 5% in October 2017, and from 5% to 8% in October 2018. These increases will now take effect in April 2018 and April 2019.

“We keep abreast of the latest developments in payroll so you don’t have to, so seeking advice from our payroll department is always recommended for businesses that are unsure about the new tax year changes to the minimum wage and its enforcement. Visit us in branch or contact our Swansea, Pembroke or Haverfordwest offices today to discover more about our payroll bureau service.”

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

Employers need to keep up to date with Minimum Wage Regulations

Bevan & Buckland AccountantsEmployers are being warned to keep up to date with minimum wage changes and penalties.

With the government offering an early preview of what is to come from the Treasury, the introduction of tougher penalties for employers not paying workers the minimum wage or the soon-to-be introduced National Living Wage didn’t go unnoticed.

As an experienced accountancy practice serving Swansea, Cardiff, Haverfordwest, Pembroke, Carmarthen and St David’s, Bevan & Buckland has made it their duty to keep employers informed about what to expect from the National Living Wage and its enforcement next April.

“With the introduction of the National Living Wage in 2016 and the new minimum wage, set to increase from £6.50 to £6.70 next month, it’s safe to say that the payroll world is changing for businesses up and down the country,” said Tina Davies, Payroll Manager at Bevan & Buckland.

“But it is the enforcement of both the National Living Wage and the minimum wage that is sending shockwaves throughout a number of industry sectors.”

The government recently announced that it plans to double the enforcement budget for non-payment of the National Living Wage and the National Minimum Wage.

Penalties for non-payment will doubled, from 100 per cent of arrears owed to 200 per cent, whilst a brand new team within HMRC will pursue criminal prosecutions for those deliberately not paying workers correctly.

“Enforcement doesn’t end there; HMRC will also be granted the power to disqualify employers from being company directors for up to 15 years,” warned Tina.

“We keep abreast of the latest developments in payroll so you don’t have to, so seeking advice from our payroll department is always recommended for businesses that are unsure about the new tax year changes to the minimum wage and its enforcement. Visit us in branch or contact our Swansea, Pembroke or Haverfordwest offices today to discover more about our payroll bureau service.”

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

Our Payroll Team are in the final!

Bevan & Buckland Accountants logoOur payroll team have been nominated in the best Bureau/Service provider category.

Payroll World Awards 2015 finalists revealed 30 July 2015

The shortlist for the 2015 Payroll World Awards, sponsored by Intuit QuickBooks, has now been unveiled, with the winners set to be announced on 12 November at London’s Tower Hotel.

The judges selected the final list from a record number of entries following the introduction of the new, simplified entry process.

The diverse shortlist means specialist providers such as Symatrix and PaycheckPlus compete alongside well-known payroll names like Ceridian and MidlandHR.

The Payroll World Awards 2015 will also see a number of new categories introduced, including ‘Auto-enrolment Engagement’, ‘Best Company to Work for in Payroll’, ‘Best Payroll Support Team’ and ‘Best International Payment Provider’.

Chris Fitzgerald, Payroll World managing director, said: “The judges really had their work cut out selecting the shortlist from a record number of entries, and they now face the even more difficult task of selecting the winners from a very high standard of finalists.

“It’s exciting to see such a diverse mix of familiar names and new entrants on the shortlist. This, the fifth year of the Payroll Awards, is set to be the best yet and the most fiercely contested.”

Bevan & Buckland have been nominated in the Bureau/Service Provider category.

 

Payroll Team Award – Bureau/Service Provider Sponsored by The people’s pension

  • Anderson Anderson & Brown
  • Bevan & Buckland
  • Bond Payroll Services
  • Brown McLeod
  • Ceridian
  • Cintra HR & Payroll Services
  • Equiniti
  • FMP Global
  • PW Payroll Solutions
  • Symatrix

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

National Minimum Wage rates announced

Bevan & Buckland AccountantsFrom 1 October 2015 the adult National Minimum Wage (NWM) rate is to increase by 20 pence and the apprenticeship rate will see the largest ever increase.

The Government has announced that from 1 October 2015:

  • the adult rate will increase by 20 pence to £6.70 per hour
  • the rate for 18 to 20 year olds will increase by 17 pence to £5.30 per hour
  • the rate for 16 to 17 year olds will increase by 8 pence to £3.87 per hour
  • the apprentice rate will increase by 57 pence to £3.30 per hour
  • the accommodation offset increases from the current £5.08 to £5.35.

This is the largest real-terms increase in the National Minimum Wage since 2007, and more than 1.4 million of Britain’s lowest-paid workers are set to benefit.

The government has rejected the LPC’s recommendation for the apprentice rate. The new apprenticeship rate will be set at £3.30 and represents a rise of 57 pence, the largest ever increase in the National Minimum Wage for apprentices. By implementing a rate higher than the LPC’s recommendation, the government intends that apprenticeships will deliver a wage that is comparable to other choices for work.

Business Secretary Vince Cable is also planning to launch the National Minimum Wage Accelerator – an online tool which will make it easier to compare rates of pay across regions, sectors and occupations. It will take data from the annual survey of hours and earnings and display information about pay so that people are able to compare wages with others in their sector and region.

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

Regulator to send exemption letters to single director companies

Bevan & Buckland AccountantsRegulator to send exemption letters to single director companies

February 2015

As previously reported, all small and micro businesses are to receive letters from The Pensions Regulator in the coming months as part of a new campaign to give them key information on automatic enrolment, including when the duties affect them.

An exemption letter will be sent to single director companies whose PAYE data, as of 1 April 2012, showed that they had workers being paid at that time, but our current records indicate that this is no longer the case (or that they are only paying themselves as the director). This letter will explain that they are therefore exempt from the employer duties, but goes on to explain how they can contact TPR if this subsequently changes.

In the letter it mentions ‘nominate a contact by’ and quotes a date. This date varies according to when the letter has been sent but is always the end of the subsequent month. For example:

If it is sent out in Jan (no matter what point in the month) then it will be end of February.

If it is sent out in Feb (no matter what point in the month) then will be end of March.

The decision to write to more than 1.5 million addresses across the UK from the end of January aims to ensure that by the summer all employers know their ‘staging date’ – the date when they need to be ready to meet their automatic enrolment duties.

Advisers should be prepared, as employers are likely to seek advice and guidance in preparation to meet their duties.

http://www.cipp.org.uk/en/cippnews/index.cfm/tprsingledirectorletters

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

To find out what other services are offered by Bevan and Buckland visit www.bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352

Sage Payroll – top 5 hints and tips

Bevan & Buckland AccountantsTop 5 payroll hints and tips

sage payroll for business

 

 

 

1.    Are you staging for automatic enrolment on 1 January? If so, it’s important that you know when to first assess your employees. It might even be before 1 January. Use our handy calculator >>

2.    Is your payroll data due a check up? – In Sage 50 Payroll, the Health Check option helps you identify any potential problems with your data. If any issues are picked up, you can fix them before your next HMRC submission. Read more >>

3.    The P32 and you – To make sure the P32 picks up all pay periods in the month, it’s important that you run the it at the end of each tax month.
Watch our quick demo >>

4.    Customising your payroll desktop – Did you know you can change the look of your employee list, add colours and change the order in which the employees appear? Read more >>

5.    An important reminder about Windows XP – New versions of Sage 50 Payroll won’t install on computers running Microsoft Windows XP. If you still use XP, you must upgrade before it’s too late. Read more >>

National Minimum Wage rates increases

Bevan & Buckland Accountants logoFrom 1st October 2014 the National Minimum Wage rates increases

The National Minimum Wage rate per hour depends on your age and whether you’re an apprentice – you must be at least school leaving age to get it.

Year 21 and over 18 to 20 Under 18 Apprentice*
2014 (from 1 October) £6.50 £5.13 £3.79 £2.73
2013 (current rate) £6.31 £5.03 £3.72 £2.68
2012 £6.19 £4.98 £3.68 £2.65
2011 £6.08 £4.98 £3.68 £2.60
2010 £5.93 £4.92 £3.64 £2.50

*This rate is for apprentices aged 16 to 18 and those aged 19 or over, who are in their first year. All other apprentices are entitled to the National Minimum Wage for their age.

If you are looking for advice and support with any aspect of payroll, please don’t hesitate to contact the Bevan & Buckland Payroll Bureau at the office nearest to you.

For further information about how Bevan and Buckland can help your company with management of the payroll contact Tina Davies on 01792 410100 or by email at help@bevanbuckland.co.uk.

To find out what other services are offered by Bevan and Buckland visit www.bevanbuckland.co.uk.

Tina Davies
MCIPP(dip) Member Chartered Institute of Payroll Professionals

Tina Davies is manager of Bevan & Buckland’s Swansea Payroll Department, we also operate a payroll bureau service from the firm’s Pembroke and Haverfordwest offices.  

http://www.bevanbuckland.co.uk/services/payroll Tel: 01792 410117

Bevan & Buckland Accountants Swansea Tel: 01792 410100

Bevan & Buckland Accountants Haverfordwest Tel: 01437 760666

Bevan & Buckland Accountants Pembroke Tel: 01646 682383

Bevan & Buckland Accountants Carmarthen Tel: 01267 233115

Bevan & Buckland Accountants St David’s Tel: 01437 720352