OUTSOURCED PAYROLL WITH GENIUS MONEY
Genius Money operate a bureau model where we can undertake a minimal to full turnkey outsourced payroll service for internal members of staff
The contract of employment and general employer and employee responsibilities remain, but everything to do with somebodies pay whether it be hourly, daily, weekly, fortnightly or monthly is received, processed and administered by Genius and paid to the worker in the time-frame requested.
If the full turnkey service offered by Genius is taken, this includes all deductions for Tax, National Insurance and Employers National Insurance. Including all HMRC reporting and payments.
By outsourcing your payroll to a Genius Money, you know that your employees are being paid properly - on time, every time and that your compliance responsibilities are being taken care of, you can rest at ease.
Outsourcing gives you access to essential skills and knowledge at low cost. With over 43,000 pay-related cases a year ending up in an employment tribunal, you simply can’t afford to get wrong at payroll management.
A lot of uk businesses subcontract out their payroll administration for their permanent employees to their accountants, this is sometimes because they are a startup or they have gone through a growth period in a short space of time or just do not have the appetite to build their own internal payroll department.
HMRC APPROVED PAYROLL SERVICE
Genius Money offer services to assist and/or take full responsibility for running your internal payroll this ensures you have a fully compliant and reliable way to pay your employees.
To run an internal payroll service the following criteria must be met:
- Set your company up - You must register your business before the first payday. It can take up to 5 working days to get your employer PAYE reference number. You cannot register more than 2 months before you start paying people.
- Purchase payroll software - to keep a record of employee's details, calculate pay and deductions and report all of this to HMRC.
- Collect and keep records - you must keep the following records for a minimum of 3 years from the end of the tax year they relate to.
- what you pay your employees and the deductions you make
- reports and payments, you make to HM Revenue and Customs (HMRC)
- employee leave and sickness absences
- tax code notices
- taxable expenses or benefits
- Payroll Giving Scheme documents, including the agency contract and employee authorisation forms
- Tell HMRC about your employees - whenever you take on a new employee you must inform the HMRC
- Record pay, make deductions and report to HMRC - on or before the first payday
- Every month you have to pay HM Revenue and Customs (HMRC):
- the tax and National Insurance (and any other deductions) you owe as reported on your Full Payment Submission (FPS) in the previous tax month minus the reductions on any Employer Payment Summary (EPS) you sent before the 19th in the current tax month
- Pay what you owe by the 22nd of the month (or the 19th if paying by post) - you may have to pay a penalty if you do not.
BENEFITS TO OUTSOURCING YOUR PAYROLL
Minimises your risks of fines, penalties and inspections
The financial penalties for failures to meet PAYE compliance regulations, especially under the latest RTI regulations, can not only be severe but will involve wasted management time, employee dissatisfaction and vulnerability to costly Inland Revenue PAYE Inspections.
It is difficult, especially for startup's and businesses which have gone through fast growth, to engage, train and retain suitably reliable, qualified or skilled staff.
Inadequately trained staff can lead to expensive mistakes and penalties for non-compliance – new and part-time staff, especially, leaves you extremely vulnerable to be penalised.
Leaves you free to do what you do best – run your business
Why get involved with the ever-increasing load of regulations that make payroll operation exceedingly complex and time-consuming. What if, because you were bogged down on routine issues, you miss a significant sales opportunity – an ‘opportunity cost’ you can’t measure? Outsourcing your payroll frees up your time to focus on what you are best at - on what’s important in your business and on what really adds value to your bottom line.
As a business owner, outsourcing payroll allows you to focus on the core activities of your business. Moreover, passing your payroll information to the third party helps you to know and track everything about your payroll expenses.
Saves time and is efficient
When you outsource payroll to payroll companies, they will do the job efficiently as they are designed to do payroll operations quickly and correctly without any interruptions. One of the top advantages of outsourcing payroll is it saves time. When you outsource, your staff will be free from doing payroll related work like calculating pay and deductions and spend their time on more value generating activities.
Saves you substantially on software, hardware, manpower and consumables costs
Software costs - Payroll programs have an initial acquisition and installation cost. Not to forget the ‘learning curve’ and ‘time costs’ as your companies staff grapple with how the program works. Then add that to the hassle of adding the annual updates (tax codes, rates, etc) and annual software support subscriptions. The overall cost of maintaining a payroll in-house can become more expensive than you might realise. These hassles and costs can be avoided by outsourcing it to the specialists.
Staff costs - Payroll staff costs can be considerable when including their wages, cover for holidays, sickness, maternity, etc. Along with all the hassle, these issues involve. Inadequately trained staff can lead to expensive mistakes and penalties for non-compliance – new and part-time staff, especially, leaves you extremely vulnerable and this is where payroll outsourcing takes the upper hand.
Hardware costs – The cost of the computer used to process payroll and its maintenance, together with a dedicated printer can cost you four figures every three or four years. The cost of specialised security stationery, printer cartridges and postage all keep adding up over the year. Outsourcing takes the added stress of managing and maintaining the system away.