As a member of the Hive payroll team, I regularly get asked the same few questions. Here are some of the most frequently asked questions and where to find out more information:
How do I calculate my staff holiday entitlement?
It can be confusing, trying to figure out how much holiday entitlement an employee has that commenced or ceased their employment part way through the holiday year. Or even how much you are legally obliged to give your staff.
Luckily, the government holiday entitlement calculator on HMRC’s website is a great tool and can assist you with this.
How can I track my staff absence/holiday remaining?
This can be a real HR burden. However, there are a number of software packages available that can help to track this information accurately and efficiently and what’s more, many offer a free trial. Here are just a few examples:
What is the National Minimum Wage (NMW)?
It is important to ensure ALL your members of staff are being paid the National Minimum Wage for their age. Here are the current rates:
- 25 and over = £7.20
- 21 to 24 = £6.70
- 18 to 20 = £5.30
- Under 18 = £3.87
- Apprentice (aged 19 or under, or 19 and above in their first year of apprenticeship) = £3.30
Take a look at HMRC’s website for more information on the current and previous rates for each age bracket.
How do I understand my tax code?
Understanding your tax code is easy when you know how. HMRC explain it quite simply on their website:
Your tax code will be made up of:
- numbers – these refer to how much income you can have before you pay tax
- usually one letter – it refers to your situation and how it affects your tax-free Personal Allowance
I keep hearing about Automatic Enrolment – What is it?
Auto Enrolment (AE) is a scheme introduced by the Government which makes it compulsory for employers to offer their employees a pension scheme and make a contribution.
The Pension Regulator (TPR) is the UK regulator of work-based pension schemes and details all you need to know regarding AE on their website: www.thepensionsregulator.gov.uk
Other useful links that you can use if you are ever in doubt
ACAS (Advisory, Conciliation and Arbitration Service)
ACAS provides free and impartial information and advice to employers and employees on all aspects of workplace relations and employment law: ACAS
HMRC Employer Helpline
HMRC are able to give employers advice on such queries as PAYE, student loan repayments, Statutory Sick Pay (SSP) and Statutory Maternity Pay (SMP) just to name a few: HMRC Employer Helpline
Of course, we are happy to help you in any way we can so if we do your payroll please do contact us if you have any questions. If you would like to speak to Hive about our payroll services, get in touch on 01872 300232 or email us at hello@hivebusiness.co.uk.
