Nov 2021


What to include on a payslip and how they should be shared with employees

 By law, employers must provide all employees with a payslip for each pay period. As well as giving employees a rundown of their earnings and any deductions there might be to their pay, payslips may be required as proof of income when applying for a mortgage or other loans. Payslips should be provided to employees either before or on the day they receive payment and are usually generated within the payroll software. According to ACAS, payslips must include:

  • Total pay before deductions
  • Total pay after deductions
  • Amounts of any variable or fixed deductions
  • A breakdown of how the wages will be paid if more than one payment method is used

Below is an example of information you may find on a payslip:

How should payslips be shared with employees?

  • Employees’ payslips should be provided to them as at least one of the following:
  • A hard copy
  • Attached in an email
  • An online copy

Giving employees a printed copy of their payslip is becoming less common. As well as the fact many businesses are digitising their paper processes, a payslip contains a lot of sensitive employee information, and a printed payslip could easily fall into the wrong hands. When emailing payslips, it is important that the payslip is password protected. More and more businesses are choosing to opt for sharing payslips with employees online. Not only do they save on paper on ink, but they are also more secure and can be easily retrieved when needed.

How can I provide employees with online payslips?

Some payroll software providers include an option to share employees' payslips through an online portal. BrightPay payroll software has a cloud add-on, BrightPay Connect, which includes an employee self-service mobile app where employees can view and download all new and historic payslips. Once a payslip becomes available, the employee will receive a push notification on their phone. If they do not have access to the app, they can also access their employee portal online from any device.

Sharing employees' payslips through an online portal such as BrightPay Connect is the best way to avoid payslip data breaches and insure you are in compliance with UK data protection laws. It also means that employees will always have access to all their past payslips and won’t need to come to their employer to request them.

Can you produce payslips using Basic PAYE tools?

You can use Basic PAYE tools (BPT) to produce payslips for your employees. However, the payslips produced will not include all the details which you are required to provide by law. By using a payroll software such as BrightPay, the payslips produced will contain all the information required by law, while also being customizable with the option of including additional information.

To find out more about how you can share payslips with employees online, book a free online demo of BrightPay Connect today.

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Posted byElaine CarrollinBrightPay ConnectPayrollPayroll Software

Nov 2021


Brexit and GDPR

GDPR’s impact on payroll

The General Data Protection Regulation (GDPR) came into effect in May 2018, and it brought the biggest changes in data privacy regulation in over 20 years. Payroll processors deal with personal and sensitive employee information all the time (e.g., names, emails, addresses, bank details, social security numbers, etc), so it’s critical that this information is kept secure and compliant with the GDPR.

Many companies had to review their data handling processes and equip themselves with new tools to ensure GDPR compliance. For example, keeping payroll records stored safely by using an online cloud server such as BrightPay Connect.

Brexit and GDPR

The EU GDPR is an EU Regulation, and it no longer applies to the UK since Brexit. However, the provisions of the EU GDPR have been incorporated directly into UK law and will be now known as UK GDPR. In simple terms, there’s virtually no difference between the UK version of GDPR and the original EU GDPR. Data can continue to flow as it did before, in most circumstances.



How BrightPay Connect is helping with GDPR


BrightPay Connect is an add-on product to BrightPay payroll software. It provides a remote and secure online portal where you can access payslips, payroll reports, amounts due to HMRC, annual leave requests and employee contact details. The portal allows employers to share and upload HR documents in a secure environment hosted on Microsoft Azure.

BrightPay Connect automatically backs up the payroll data to the cloud every 15 minutes and once again when closing the file. It keeps a chronological history of all backups which can be restored or downloaded anytime, keeping payroll records safely stored at all times, with no risk of losing them.

But that’s just a quick taster of the features that BrightPay Connect has to offer. Book a 15-minute demo today and see for yourself. Or if you are new to BrightPay, why not try our payroll software for free for 60 days. The free trial is fully featured with all functionality.

Don’t take our word for it! View our library of BrightPay Connect testimonials on our website from real customers.

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Posted byHolly McHughinGDPRPayrollPayroll Software

Oct 2021


Re-enrolment: Don’t let your software let you down

When it comes to pension re-enrolment, do you know which of your employees need to be placed back into the pension scheme, and when? Perhaps you do. However, it is much more likely that you rely on your payroll software to notify you when re-enrolment is due, ensuring you don’t miss any deadlines.

However, perhaps you should double check that your confidence in your payroll software isn’t unwarranted. Are you certain that your payroll software automatically notifies you when re-enrolment is due, or do you in fact, have to manually check for this information?

What is re-enrolment?

Every three years, employers are required to re-enrol certain employees. This involves assessing the employee’s eligibility for auto enrolment and re-enrolling them into a pension scheme. The employer will then need to complete a re-declaration of compliance to inform The Pensions Regulator (TPR) that their duties have been met. An employer must submit their re-declaration within five months of the third anniversary of the automatic enrolment staging date. If you have no staff to re-enrol, you will still need to submit a re-declaration of compliance.

How to choose your re-enrolment date:

The re-enrolment date is chosen by the employer and can occur anytime within a six-month timeframe of the ‘staging date’ or ‘duties start date’ three-year anniversary. It can be set three months before or three months after the anniversary date. Regardless of whether you used postponement at your staging date, re-enrolment occurs three years after your staging date, not your deferral date.

For example, if your duties start date was 1st April 2018, you can choose to re-enrol on any day between the 1st January 2021 and 30th June 2021. In this example, the deadline for completing the re-declaration of compliance would be 31st August 2021.

Employee Assessment:

  • Employees who are eligible for re-enrolment are:
  • Aged between 22 and up to the State Pension Age
  • Earn over £10,000 a year
  • Employees who have previously left the scheme or who have reduced their contributions to below the statutory minimum requirement for auto enrolment.

Employees who are not eligible can request to join the scheme.

BrightPay payroll software monitors any changes to an employee’s work status each pay period. As soon as you reach your re-enrolment date in the payroll, BrightPay will automatically assess the employees and will determine which employees qualify for re-enrolment. If employees meet the criteria, on-screen flags and alerts will appear to notify you that you now have re-enrolment duties to perform.

Employee notification:

After re-enrolling eligible employees into a pension scheme, they must be notified in writing of their re-enrolment within six weeks of their re-enrolment date. BrightPay will automatically prepare the employee’s enrolment letter. These letters can be printed, exported to PDF, emailed to the employee, or if you are a BrightPay Connect customer, the letter can also be automatically added to the employee's self-service portal.

Choose the best payroll software for re-enrolment:

Unlike other payroll software where you must check for re-enrolment duties, BrightPay Payroll automatically assesses employees and will notify you immediately when re-enrolment is due. This feature helps avoid last minute stress, back-dating pension contributions, and potential fines. To learn more about BrightPay’s full payroll functionality and how it can improve your payroll processes, schedule a personal demo and speak to a member of our team today.

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Posted byÁine CourtneyinAuto EnrolmentPayroll Software

Oct 2021


The hassle-free way to maximise profits from payroll processing

Accountants and payroll bureaus sometimes find that processing payroll takes a lot longer than they would like. Because of this, some accountants may be making little to no profit from offering payroll as a service. Nevertheless, it is a service expected by customers. If you aren’t making a profit from payroll processing, this could be down to not using the right payroll software. By switching to a payroll software that automates tasks you can transform payroll from a time-consuming manual process and into an easy process where certain tasks take care of themselves, saving you both time and money.

Not only can you make a profit from processing payroll but depending on what payroll software you use it can be an opportunity to maximise profits by allowing you to offer new services to your clients which you may not have considered before. When it comes to introducing your staff and your clients to new services, you may think you have enough on your plate and that it would take up too much of your time. However, BrightPay Connect, a cloud add-on to BrightPay Payroll software, has little to no learning curve, allowing you to immediately begin offering additional services to clients. Offering new features such as a self-service dashboard for clients, a mobile app for their employees or giving your clients access to new HR tools is a lot easier than you think.

In our upcoming free webinar “Optimising your payroll offering to improve profitability” you can find out all you need to know to stop payroll processing from being a loss leader and turn it into a money spinner. Register now.

In the webinar you’ll learn:

  • The benefits of integrated payroll and accounting systems
  • How batch processing can transform your payroll performance
  • How you can streamline client communications
  • Top tips for expanding your client base
  • Pricing strategies that work – what other practices are doing

Please note: This webinar is specifically designed for accountants, bookkeepers, and payroll bureaus.

Webinar Information:

The webinar takes place on 28th October at 11.00 am and is free to attend for all accountants and payroll bureaus.

If you are unable to attend the webinar at the specified time, simply register and we will send you the recording afterwards.


Register Now


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Posted byElaine CarrollinPayroll Software

Oct 2021


Easily Manage Attachment of Earnings Orders with BrightPay

What is an attachment of earnings order?

As an employer, you can be directed to deduct money from an employee’s pay. You will receive a formal notice, referred to as an attachment of earnings order, typically from a court, but can also be from the DWP Debt Management or from the Child Maintenance Group.

The order instructs an employer to divert money directly from an employee’s wages to pay back an outstanding debt. The order is issued because it is believed that the employee has failed or is likely to fail to pay the sums through other means. The money is sent to the court that made the order which is then forwarded to the employee’s creditor. Attachments can be issued for a number of reasons including unpaid fines and child support.

Deduct an attachment of earnings order using BrightPay

BrightPay Payroll has the facility to process a variety of attachment of earnings orders. This includes:

  • Council Tax Attachment of Earnings Order
  • Civil Judgment Debt Attachment of Earnings Order
  • Child Support Deductions from Earnings Order
  • View BrightPay’s full list of attachment of earning orders here

Fast and easy deductions:

BrightPay payroll software allows customers to easily add attachment of earnings to an employee’s payslip. In the employee’s profile, under ‘Additions and Deductions’, the user can choose from the different attachment orders available. Once selected, the description and relevant dates are added along with the amounts and status.

An AEO can either be a priority order or a non-priority order, which impacts the way deductions are calculated. If an employee has more than one order, priority orders will need to be deducted first. In BrightPay, tick the ‘priority’ box if the order is a priority order. The priority orders will be deducted in the order the employee received them.

Once it is set-up, BrightPay will continue to apply the Attachment Order on the employee’s payslip from the relevant period. To see how to apply an Attachment of Earnings Order click here.

What happens if you don’t comply?

Although attachment of earnings can be issued by different authorities, these authorities have the power to impose a fine. An employer that does not comply may be liable to a fine in the magistrate’s court, in the county court, or in the High Court. The employer must also notify the authority when the employee is no longer in its employment, or risk paying a fine.

Find out more about BrightPay Payroll:

BrightPay Payroll makes processing payroll quick and easy. Its comprehensive functionality, covering AEOs to auto-enrolment and CIS, provides a complete solution to your payroll needs. To learn more about BrightPay’s features and how they can benefit your business, book a free demo today.

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Posted byÁine CourtneyinPayroll Software

Aug 2021


BrightPay Connect User Permissions: What a Bureau Needs to Know

BrightPay Connect’s User Management interface makes it quick and easy for bureaus to set users up or to change their permissions. The different levels of access allow for greater flexibility, security, and management of your clients’ data.

Organising your user permissions efficiently can save you and your employees time while ensuring that confidential information is kept secure. You have the option of marking certain clients as confidential, setting employees up as standard users with full access to multiple clients, and allowing standard users to connect and synchronise employers from BrightPay Payroll to BrightPay Connect.

Types of Users for Connect

There are two main types of users: Administrator and Standard User.


  • An administrator has full control over a BrightPay Connect account, with the ability to edit account settings, add other users, redeem purchase codes, connect employers and manage all employer and employee information and processes.
  • You have the option of adding multiple administrators. However, all administrators can view the bureau’s own internal payroll (if it’s associated with the BrightPay Connect account), and so it is recommended to have as few administrators as possible.

Standard User

  • A standard user can have access to one or more employers in your BrightPay Connect account. Therefore, both clients and payroll staff can be set up as standard users.

  • Unlike administrators, user permissions can be added for standard users so that they only have access to information that they need.

Types of Standard Users

Standard User – Payroll Staff

Payroll staff can be set up as standard users where they only have access to the clients that they are working on. You also have the option of granting the standard user access to all existing clients, along with any new clients linked to the Connect account going forward.

If required, an employer can be marked as confidential in Connect (for example, the bureau’s own internal payroll) and only administrators on the Connect account will be able to view this employer. Standard users can only access confidential employers if they are given permission to do so.

Payroll staff can also be granted access to invite other standard users (e.g. clients) to Connect, and to connect and synchronise the payroll, so that they can process payroll on the desktop application or BrightPay.

Standard User - Clients

Clients can be added as standard users so that they can only view information related to their company. If the employer details are entered in the ‘Client Details’ tab in the employer section in BrightPay, the employer can be added as a standard user by the bureau very quickly and easily.

On the employer dashboard, you will see the option to ‘Invite your client’. Selecting this populates the client’s information for a new standard user and you can then choose the permissions for the client. This will let you avail of the payroll entry and payroll approval request features, which can have significant benefits for bureaus.

Standard User – Client's Managers

As well as setting up the client as a standard user, you can also add various managers within the client’s company with restricted access. For example, you can add department managers, where they can only access employees within their department. The user can also be set up where they can only view the leave calendar and approve employee requests, without having access to the payroll information or HR documents.

Book Your Free BrightPay Connect Demo Now
If you’re interested in learning more, book your free BrightPay Connect demo. A member of our team will walk you through the various features of BrightPay Connect and explain how they can benefit you and your clients.

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Posted byÁine CourtneyinPayroll Software

Aug 2021


Payslips explained: Top tips to help your employees

As an employer, it’s easy to assume that all employees understand the information on their payslips. However, research carried out shows this is not the case. Although some employees will examine their payslip each pay period, checking the tax and other deductions, others will never glance at theirs, assuming it is correct.

Understanding a payslip can be confusing and it’s worth taking the time to explain to new and existing employees what everything means. By breaking down each piece of information displayed on their payslip, you will find it easier to resolve unexpected payroll issues that arise and to communicate the full benefits of their employment package. Importantly, if you have employees who work unpredictable shifts and periods of overtime, it can help to encourage these employees to consistently share the most up-to-date information in order for payroll to be processed more accurately.

To help your employees understand their payslips better, check out the following tips:

1. Explain the basics:

Payslips contain a lot of information so it’s useful to break down what the employee will see. This includes the gross pay, net pay, and their personal information such as their payroll number, tax code, and their National Insurance (NI) number.

2. Be clear on how their pay is calculated:

Understanding how a salary is calculated for each month can cause confusion for employees, especially if they are paid on a monthly or a 4-weekly schedule. Moreover, employees being paid different rates depending on their hours worked will need to understand the differences.

Any deductions, both variable and fixed, should be explained. This includes those required by law, for example National Insurance, income tax, or student loan repayments, as well as those agreed to by your employee. Pension contributions will also be shown on the employee’s payslip, and this can be a good opportunity to explain its benefits as well as to highlight the employer’s contribution to their pension fund.

3. Choose the right time:

Onboarding new employees is the ideal time to explain the information a payslip contains. While onboarding, the employee will likely be partaking in induction training, filling out forms, and getting ready for their new role. This is a good opportunity to go through their payslip as well as emphasise any benefits included on it, such as a bonus, commission or other rewards.

4. Use your payroll software to customise payslips:

If you use payroll software, such as BrightPay Payroll, you will be able to customise your payslips. This can help make the payslips more easily understood. For example, use a custom description for specific payment periods such as daily payments, piece payments, as well as additions or deductions.

5. Make payslips easily accessible:

Providing a digital payslip is convenient for both you and your employees. Not only does it save you money and time printing out payslips (and improves your sustainability efforts), but it also allows employees to access their payslips whenever they want. Using an employee app, such as BrightPay Connect, employees can access their payslip on an online browser or on an app on their smartphone or tablet. Additionally, employees have access to their payslip archive, a record of all their payslips which date back to when you first started using BrightPay Payroll. The payslip archive ensures they never lose their payslip and allows employees to easily access them when applying for mortgages or other financial banking options.

Find out more:

If you’re interested in learning more about BrightPay Connect and the added benefits of using an employee app, including its HR functionality, book a free BrightPay Connect demo today.



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Posted byÁine CourtneyinEmployee Self ServicePayroll Software

Aug 2021


It’s time to go paperless: how an employee app can help

COVID-19 has accelerated the move to paperless systems for businesses all over the world. In retail we saw outlets curtailing the use of cash due to fear of spreading the virus; causing payment habits to evolve faster than ever. With more of us working remotely, the office has also seen rapid innovation and it has become crucial that businesses digitalise their paper forms. While some of us may have found the move to digital difficult at first, many of us are now used to it and can easily visualise a future where paper is no longer needed in the workplace. The pros of a paperless workplace far outweigh the cons and it has the ability to revolutionise the way we work.

The move to paperless is nothing new in the world of payroll processing. Going back to a time where payroll was done manually and without the help of software is unimaginable to most payroll processers. However, if you are still using paper anywhere in your workflow, it’s time to make the change and stop using it altogether.

BrightPay Connect is a cloud add-on to our payroll software that can help you to digitalise payroll and HR processes, allowing you to cut down on your use of paper and even stop using it altogether. So how can BrightPay Connect help you achieve this?

BrightPay Connect digitalises the following tasks:

  • Sharing documents with employees such as contracts of employment, staff handbooks etc. 
  • Distributing payslips to employees 
  • Annual leave management

What are the benefits of digitalizing payroll processes?

1. Your company can save money

In the UK, surveys have found that the average amount spent by businesses on printing is £700 per employee. With 30% of print jobs not even being picked up from the printer and 50% of print jobs ending up in the bin within 24 hours, businesses are essentially throwing money away. A document such as a staff handbook can be as long as 100 pages. Say you have 40 employees, that adds up to 4000 pages and a lot of money being spent on paper and ink. Sharing the staff handbook through a cloud portal cuts out this cost altogether.

2. It is more convenient for you and your employees

With BrightPay Connect, staff have the ability to access important documents through the employee self-service app on their phone. This means they no longer have to store physical documents that can often be lost or get thrown away. It also means that if you would like to update or change any of the information in the document, it is easy to do so. Once the document has been updated, employees will receive a push notification to let them know the new updated document is ready to be viewed. Sharing a document online with a few clicks of a mouse is far more convenient than having to print off, sort through and physically distribute reams of paper. It also doesn’t matter where an employee is; in the office, working from home, or even on their holidays, everyone will have access to the document at the same time.

3. You can save yourself hours of time

Paper-based processes are notoriously slow and are more prone to error which can end up taking you hours to correct. One way you can save time with BrightPay Connect is by digitalising your annual leave management processes. Instead of having employees submit paper forms, the employee can request leave wherever or whenever suits them; be it from their desk or even in their own time through the BrightPay Connect mobile or tablet app. Once a request for leave has been made, the relevant manager will receive a notification on their own BrightPay Connect dashboard. From the dashboard, employers can either approve or deny the leave request. Through your dashboard, you can view a real time, company-wide calendar where you can see which employees are on leave, when they are on leave and the type of leave, saving you hours of time when dealing with annual leave requests.


4. It improves accountability

Another great benefit of using BrightPay Connect's online document sharing feature instead of paper is that it allows for accountability. From the employer dashboard, users have the ability to track who has read the documents which have been shared with them and who hasn’t. When it comes to managing annual leave through BrightPay Connect, you can assign users to manage requests from specific employees. You also will have a record of who has requested leave, when, and who has dealt with the request.

5. It improves security

Employee documents and especially payslips, are highly confidential documents which contain sensitive personal information. It is the responsibility of the employer to ensure that the employees' information is kept safe and secure. If you are still sharing paper payslips with employees, you are leaving them at high risk of a data breach. In the BrightPay Connect mobile app, employees will receive an email and a push notification when their latest payslip becomes available to be viewed or downloaded. From the app, employees can also view and download all past payslips. BrightPay Connect uses a design structure that maximises security. Each user will have their own login details and unique password. BrightPay Connect utilises the Microsoft Azure platform, keeping the employee’s personal information secure.

6. It helps you stay ahead of the competition

Technology is always evolving and by not moving from manual paper processes to digital ones, you are at risk of being left behind of the competition. Companies are having to continuously innovate to keep up with customers' expectations and payroll is no different. The digital transformation has changed employees’ expectations. To attract and retain top talent, employers need to replace old manual processes with digital solutions. In a recent employee survey, 91% of employees said they want digital solutions and 88% think that technology is a vital part of the employee experience.

7. You are helping the environment

Lastly, the biggest advantage of going paperless is that you are helping to save the environment. By curtailing the use of paper in the workplace not only are you saving trees, but you are also helping to reduce pollution, save water and cut down on the use of fossil fuels which are used to make ink. Turning a single tree into 17 reams of paper releases around 110 lbs of C02 into the atmosphere. It has become the responsibility of businesses to cut down on carbon emissions and going paperless is the first step you can take.

It is becoming increasingly important for businesses to make more environmentally friendly choices. In a recent BrightPay UK customer survey, 69% of respondents said that they would like to make more environmentally friendly decisions for their business. From the same survey, 42% said that it was either extremely important or very important for them to choose suppliers who make a conscious effort to reduce the impact they have on the environment.

Read about our own sustainability efforts here.

Why not book a free online demo of BrightPay Connect today and find out more about its benefits and how it can help your business go paperless.

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Posted byElaine CarrollinPayroll Software

Jul 2021


BrightPay Connect: More than just a cloud back-up

In BrightPay’s 2021 customer survey, we asked you which features of BrightPay Connect you were aware of. While the majority of customers were aware of all BrightPay Connect’s features, there were customers who admitted that they use BrightPay Connect solely for its automatic back-up of payroll data to the cloud

It is understandable why this feature is of the utmost importance to many of our customers. The thoughts of something happening to your computer and you permanently losing important payroll data just doesn't bear thinking about. Also, the convenience of never having to manually back-up data again is a time-saver that you now could not live without. 

However, if you are only using BrightPay Connect to back-up your data to the cloud it means you are missing out on a wide range of features that could benefit you, your business and your employees. You may feel the value of our cloud back-up feature is enough to justify the amount you pay for BrightPay Connect but by not taking advantage of our many other features, you could be missing out. 

Employer dashboard

Even if you are only using BrightPay Connect as a cloud back-up, you should already be familiar with the employer dashboard. From the dashboard you can view all employees’ contact details, employees’ payslips, any outstanding amounts due to HMRC and reports that have been set up in BrightPay on the desktop application. Here is also where you will receive notifications when there are tasks that require your attention, for example if you have a new employee leave requests to complete. From the dashboard, employers can also access a company-wide annual leave calendar, making it easier to manage all staff leave.

Employers have the option to invite as many users as they wish to the BrightPay Connect employer dashboard at no additional cost. Colleagues can be added as co-administrators, or an external accountant can be added as a standard user which will give them access to the payroll data which has synchronised with the payroll software.

Employee self service

When you use BrightPay Connect you can invite employees to access their own self-service platform through any computer, tablet, or smartphone. Once logged in, employees will have the ability to:

  • View or download all past and current payslips
  • View or download other important employee documents which have been shared with them such as contracts of employment, staff handbooks, P60s etc.
  • View their own personal annual leave calendar and their leave balance remaining
  • Request time off anywhere, anytime; even on the go, straight from their smartphone
  • Receive push notifications on their mobile when their newest payslip has become available, when a leave request has been approved or denied or when a new document has been made available to them
  • Request updates or changes to the information their employer has on file for them

When employees have access to their own self-service platform, it means the employer can better manage their staff while giving them a sense of control and flexibility over their work life. Giving employees the power to access documents, request leave and update their information through their phone means less time spent by employers or managers on administrative tasks. 

BrightPay Connect’s multi-user access feature means managers can be assigned to deal with annual leave requests from specific employees. For example, if you have a sales department, the Sales Manager can be assigned to deal with all requests from that department.

To start taking advantage of these great benefits simply log in to your employer dashboard to send your employees a welcome email containing instructions on how they can log in to their own self-service portal. View here for more information on how to get your employees started. Or why not request a free online demo of BrightPay Connect to learn more about how it works.

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Posted byElaine CarrollinPayrollPayroll Software

Jul 2021


Paying employees for the first time: A small business checklist

Have you started the business you’ve always dreamed of? It’s an exciting time but as I’m sure you know, there is a lot to figure out. When you throw tax, employment law and pensions into the mix, it can feel overwhelming.

When you’re under pressure to get going, spending time figuring out how payroll works, may feel frustrating. However, running payroll yourself will help keep overheads down, which is something every new business owner is interested in. It’s essential you get it right and if you get it right from the beginning, it can make your life a lot easier in the long term.

Here’s a quick checklist to ensure you don’t fall foul of HMRC or end up having some very unhappy employees.

How do I run my own payroll?

  1. First, register as an employer with HMRC to receive your employer PAYE reference number. You’ll need to do this even if you are the only employee of the company.
  2. Choose an RTI and HMRC recognised payroll software such as BrightPay Payroll to run your payroll and report to HMRC on. Using BrightPay payroll software can help you fulfil your legal obligations as an employer, make processing payroll much quicker, while also offering useful HR solutions.
  3. Add your employees’ information to your payroll software. Importantly, you need to enter the employee’s tax code for the year, choose the appropriate National Insurance rate to use, and include any deductions the employee is liable to (e.g. student loan).

How do I set up auto enrolment for a new business?

Once you decide to hire an employee, you need to ensure you are ready to comply with the workplace pension law. Your legal duties begin on the day your first member of staff starts work. This is known as your duties start date.

  1. Upon hiring, assess whether your employees are eligible jobholders and are entitled to be put into a pension scheme. BrightPay payroll automatically assesses employees for enrolment, and if they meet the criteria to be enrolled in a pension scheme, on-screen alerts will appear.
  2. As soon as possible, choose a pension scheme that can be used for automatic enrolment. Your payroll software may provide direct integration with a number of pension providers which will save you a significant amount of time. View BrightPay’s API integrations with pension providers here.
  3. Within 6 weeks of your duties start date, use your payroll software to send letters informing your employees of auto enrolment and how it applies to them. With BrightPay, auto enrolment letters are automatically created and customised for each individual employee.
  4. Complete a declaration of compliance to the Pensions Regulator within 5 months after your duties start date.

How do I pay my employees?

  1. Once you’re happy that all the payroll information is correct, you’re ready to run your first payroll. Once finalised, the employees' payslips need to be sent to them. With BrightPay, payslips can be printed or emailed directly to employees, or if you use BrightPay Connect, payslips are automatically sent to the employee’s smartphone via the self-service app.
  2. Next, you’ll need to actually pay your employees. You can do this either by cash, cheque or direct debit. If your payroll software offers it, you can also pay directly from the software using a direct payments method. This eliminates the need to create bank files associated with direct debits and allows you to pay employees in a fast and secure way.

Reporting and paying HMRC for the first time:

  1. Make sure you register your employees with HMRC. This can be done by including their details (pay and deductions) on a Full Payment Submission (FPS) the first time you pay them. Going forward, an FPS must be sent to HMRC on or before each pay day, notifying HMRC of a payment made to that employee.
  2. Pay HMRC the tax and National Insurance (and any other deductions) you owe as reported on your FPS.
  3. You can pay HMRC a number of ways but a simple way of doing it is through your payroll software. See Pay HMRC through payroll software for more information.

Interested in learning more?

If you would like to learn more about BrightPay payroll software and how it can help you get ready for running your first payroll, speak to a member of our team today.

Posted byÁine CourtneyinPayrollPayroll Software