Payroll – CIS – PENSION

We operate an in house payroll bureau to save you significant time by outsourcing your payroll. We also offer other related services such as pension advice and CIS processing.


PAYROLL

  •  Process payroll
  •  Produce Payslips
  •  Operating in Real time information (RTI)
  •  Process new starters and leavers along with P45’s / P46’S
  •  Calculate SSP/SMP/SPP/SAP
  •  Calculate & record pensions
  •  Calculate & record Student Loans
  •  Calculate & record Attachment of Earnings Orders
  •  Liase with the Inland Revenue and other official bodies on your behalf
  •  Produce P60’s for employees
  •  Producing employer reports on weekly or monthly basis

 

CIS

  •  Verify Subcontractors
  •  Process Subcontractor pay
  •  Provide CIS300
  •  Submit contractor returns

CIS is short for Construction Industry Scheme. It’s HMRC’s way of collecting income tax from people who work in and around the building industry as subcontractors rather than employees.

Contractors in the construction industry often engage independent subcontractors to work on projects with them, rather than employing staff.

Historically a lot of construction industry workers, such as the navvies who built Britain’s railways, were paid in cash and no tax was paid to HMRC on their earnings. The CIS aims to reduce this problem by taxing subcontractors’ earnings as soon as they are paid out by the contractors.

How CIS works

A building firm has their tender for a new housing estate accepted. They source subcontract labour such as bricklayers, plumbers, and roofers.

As an example, the bricklayer submits an invoice to the building firm for the work he has done. The building firm pays him, but keeps back a certain proportion as tax under the CIS, and pays this over to HMRC.

The bricklayer then records the amount of tax that has been deducted from his invoices and shows this on his tax return, so that he does not have to pay that tax again.

 

 Employment Law Advice

  •  National Minimum Wage rule
  •  Contracts of Employment drawn up

 

 

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Briggs Accountancy Services auto enrolment service

We’ve spent time understanding auto enrolment and what it means for you so that you don’t have to. If you already know your staging date, you may be wondering what to do next.

It can seem quite daunting at first but once a few key decisions have been agreed we can take care of the whole process for you for a cost effective fee agreed prior to commencement.

There are 2 elements to auto enrolment:

1. Getting a scheme set up
2. The ongoing compliance and processing process

What is a staging date?

Auto Enrolment is being rolled out over a number of years and staging dates are allotted according to the size of your business. Your staging date is the date when your legal duties to implement auto enrolment come in to force. If you don’t know your staging date, click on the link below. Once you have your staging date you will need to provide a pension for your eligible employees, automatically enrol them into the scheme and start to make contributions for them..

Auto enrolment – what is it?

To help people save for their retirement, the government has introduced auto-enrolment. This means that from April 2014, employers with less than 250 employees will have to automatically enrol eligible employees into a qualifying workplace pension scheme (QWPS).

It’s important to remember that your business could be fined up to £2,500 per day if it doesn’t comply, so it pays to plan ahead. The earlier you start, the smoother the process will be.

 

What this means?

Eligible employees will need to be enrolled into your pension scheme. Following enrolment they can chose to opt out of the pension scheme. Employers have to contribute towards eligible employees’ pension plans. Employees may also have to contribute depending on whether your payments alone meet minimum levels specified by the Pensions Regulator.

Employees who are not eligible can still choose to join the workplace pension scheme and may also be entitled to employer contributions.

CONTRIBUTION COSTS

Your staging date Minimum employer contribution Minimum total contribution
Before 5th April 2018 1% 2%
6th April 2018 – 5th April 2019 2% 5%
6th April 2019 onwards 3% 8%

What you need to do

You will be given a staging date. 6 months before this you should have:

  • checked which workers might need to be automatically enrolled into a pension scheme
  • chosen a pension scheme and confirmed that the pension provider will accept all your workers
  • ensured that your payroll system supports automatic enrolment, and
  • started to make your workers aware of automatic enrolment

Our Involvement

Scheme design and set up:

  • Confirm staging date
  • Confirm pension provider is NEST
  • Confirm contributions basis – Qualifying Earnings
  • Confirm default postponement waiting period of 3 months
  • Default investment fund based on expected retirement date
  • Set up the scheme with NEST
  • Communications to employees to raise awareness and meet statutory obligations
  • Register with Pensions Regulator