Doing your own payroll might seem like smart business sense on the surface, but it quickly gets complicated with the different legislation and rules to follow. If you’re not up to speed with it all, you’ll soon be swimming out of your depth.
Penalties are charged by both HMRC and the Pensions regulator, so getting something wrong can prove costly. Below are some of the current penalty amounts.
You can get a penalty if:
- your Full Payment Submission (FPS) was late
- you didn’t send the expected number of FPSs
- you didn’t send an Employer Payment Summary (EPS) when you didn’t pay any employees in a tax month
You are charged depending on the amount of employees that you have.
Number of employee’s – Monthly penalty
1 to 9 – £100
10 to 49 – £200
If you’re over 3 months late you can be charged an additional penalty of 5% of the tax and National Insurance that you should have reported.
Failure to comply by an employer
Number of persons – Prescribed daily rate (£)
Auto Enrolment and how can The Peloton help?
Auto enrolment is the biggest shake-up in payroll since HMRC’s RTI, so naturally The Peloton has it covered.
We have partnered with Creative Auto Enrolment who are the administrators of a pension scheme who offer a great value service and, for a very small monthly fee, will ensure that everything runs smoothly so you don’t even have to think about it.
- By choosing The Peloton to help with your payroll and auto enrolment, we will make the whole process easy to understand and efficient to operate.
- Enrolment under our umbrella, to ensure a streamlined monthly process
- Assessment & categorisation of your employees
- Eligible employees are automatically enrolled into your workplace pension scheme
- Pension output files are generated and uploaded
As the pensions administrator, Creative Auto Enrolment will oversee the following:
- Management of compulsory communications to employees at all stages
- Direct debit service for your contribution, so no hassle in having another 3rd party payment to make each month.
- Helpline service for your employees