1st For Training Limited

Welcome You ToGetting the most

from Sage – RTI and Market

Developments

Presented ByLesley Wells

Of

1st For Training Ltd

Mobile: 07932 860690

Email lesley@1stfortraining.org.uk

Getting the most from Sage

During this session we will make you aware of how Sage Payroll is now – RTI compliant

Getting the most from Sage

The second part of our talk will look at some of the new features

of Sage 50 Accounts 2013.

RTI (Real Time Information)

Requires employers to make submissions of employee

payment anddeduction information to HMRC at the point payments are made to

employees.

RTI (Real Time Information)

Allows employee NI numbers to be verified, quickly, to ensure

they are legitimate.

RTI (Real Time Information)

Collects information about contracted hours or hours worked by employees – this supports the introduction of Universal Credits.

RTI (Real Time Information)

Will reduce the likelihood of repayments or bills being issued to employees after the tax year

end.

RTI ( Real Time Information).

Is being phased in from April 2013 – October 2013.

Or have any of you been involved in the pilot study

already?

RTI ( Real Time Information).

HMRC will notify employers 4-6 weeks before they are required

to begin making RTI submissions.

HMRC Statistics on just some of the data submitted in the 2009/2010 tax year.

824 employees were submitted with a surname “unknown” 160 employees were submitted with the name “Test” 507 submissions contained the employee “ A N Other” 128 employees were submitted as “Mr” or “Mrs Dummy” Some employees were submitted as X, casual, cleaner. More than 2000 employees were submitted with anNI number of AB123456 and over 1000 with an NI number of AA111111!!!!

Validating Your Payroll Data

To avoid these mishaps – its advisable to carry out a Sage

Health CheckLogin under Manager user name

Choose Toolbar Health Check

Howard Gardner’s Multiple Intelligences Theory

Literature References:-

Howard E Gardener’s book Frames of Mind (2011) (3rd Edition) published by Basic Books

Internet reference http://www.businessballs.com/howardgardnermultipleintelligences.htm 08/05/2011: 16:10

Validating Your Payroll Data

Make full use of the RTI Centreaccessed from the toolbar.

As well as guiding you through the Healthcheck…….

Validating Your Payroll Data

By choosing the Preparing for RTI tab

You can use a standard letter to communicate to all your

employeesand asking them to confirm their

personal details.

David Kolb’s – Cycle of Learning

David A. Kolb: Experiential Learning: Experience as the source of Learning and Development (1983) Prentice Hall

RTI Submissions

There are 4 new submissions you’ll make when processing

under RTI.These take effect from your

migration date, which for most employers

will be 6 April 2013.

RTI Submissions

Employer Alignment Submission (EAS)

One-off, 1st submission under RTI.Provides HMRC with a snapshot of

your data.Benchmarks who is employed

at start of the tax year.

RTI Submissions

Full Payment Summary (FPS)Regular submission made each time you pay your employees.

Starter/Leaver info.Employee details

Payment and deduction info.

RTI Submissions

HMRC use the info. Submitted onthe FPS to know what payment

to expect each month or quarter.

RTI Submissions

Employment Payment Summary (EPS)

You submit an EPS when you need

to report values toHMRC not on the FPS submission,

which will effect yourMonthly/quarterly payment.

RTI Submissions

NI Number Verification Request (NVR)

Used to improve the process ofObtaining a correct NI number.

The submission –Returns a NI No. when missing

Confirms NI No. is correct.

PTLLS –Preparation to Teach in Lifelong Learning Sector

Learning Criteria 1.2 states – Summarise key aspects of relevant legislative requirements and codes of practice within a specific context.

Learning Criteria 1.4 states – discuss issues of equality and diversity, and ways to promote inclusion.

With this in mind I have given you all a copy of Worcestershire County Council’s Equality and Diversity Policy

Universal Credits – Recording Employees Contracted Hours

Enter contracted hours Employee RecordEmployment TabSalary, in second line enter contracted hours.

PTLLS –Preparation to Teach in Lifelong Learning Sector

Learning Criteria 1.3 states – review points of referral available to meet the potential needs of learners.

Let’s now brainstorm what “points of referral” we might use?

Universal Credits – Recording Employees Contracted HoursIf you are already using pay elements,

which we would expect most employers to be doing.

Then don’t use the “I want to pay this employee box” As it will double up the

amount you pay.

Universal Credits – Employee hours will fall into these 4 bands

BAND A Up to 15.99 hours

BAND B 16 to 29.99 hours

BAND C 30 hours or more

BAND D Other – no set hours, enter 0.00 in employee record.

Preparation checklist

We have prepared a RTI checklist which you will find in your

presenters.

Any questions on getting ready for RTI?

RTI Submissions

It is important that you only start doing these submissions AFTER your migration date, for most employers that will be 6 April

2013.

RTI Submissions

Employment Alignment Submission(EAS)

Main elements of the submission:-Company PAYE ref. accounts office ref. and

tax office number.Employee name and address

Employee payroll IDEmployment start date, and end date

RTI Submissions

Employment Alignment Submission(EAS)

Before submittingCheck and cleanse your data, verify with

employees.Enter all new starter info, in Sage.

Add any employees, previously processed outside of Sage. E.G. under P38A

arrangements.Ensure any leavers are processed

RTI Submissions

Full Payment Submission(FPS)

This is the main submission that you’ll make each time you pay your employees.

Starter & Leaver info.Employee info.

Employee payment & deductionPAYE,NIC and Student Loan contributions.

RTI Submissions

Full Payment Submission(FPS)

What you should do before you submit:-Ensure the payroll is complete/final

Print all payslips & pre-update reportsPut irregular payment employees on hold

Complete the Update RecordsMake sure you have processed leavers

RTI Submissions

Full Payment SubmissionTHE TIMING OF THIS SUBMISSION IS KEY.

You must submit on the date you pay the employees or earlier.

If normal payday falls on a weekend then you have to submit before the weekend.

HMRC look at the payroll processing date, to check that submission is on time.

RTI Submissions

Employer Payment Summary(EPS)

Use this to report monthly figures to HMRC, that are not contained in the FPS…….

Statutory payments recoveredNIC compensation on statutory paymentsAdvance funding obtained from HMRC for

tax refunds and statutory payments.CIS deductions suffered

RTI Submissions

Employer Payment Summary(EPS)

You submit an EPS at the end of the tax month when or before your payment to HMRC is due.

Ensure all pay periods are updated

Set processing date to tax month end date i.e. 6th of one month

To the 5th of the next month.

RTI Submissions

Employer Payment Summary(EPS)

When do I need to make an EPS?

Only required if you have extra payments to disclose not covered by the FPS.

To check run a P32 report and look to see if there are any additional items in rows 5 – 14.

RTI Submissions

Employer Payment Summary(EPS)

You submit an EPS at the end of the tax month when or before your payment to HMRC is due.

Ensure all pay periods are updated

Set processing date to tax month end date i.e. 6th of one month

To the 5th of the next month.

RTI Submissions

National Insurance Number Verification (NVR)

Use this submission on an as and when basisto verify an employees NI number is correct.

Select the employees you want to verify,Choose e-submissions

NI Verification