The employer is responsible for collecting and paying taxes on behalf of the employee. These deductions concern: PAYE, NI contributions, private pension and donations. These duties were previously done using pen and paper. A very tedious and daunting task for any sizable business. Thanks to modern technology, this can be done more efficiently and accurately with the use of various payroll softwares. These softwares, in addition to the accounting process can also archive employee information such as: name, number, email, home address and more. There are various software programs that are expendable to any business in the matter of minutes. The employer should choose the software that best reflects his needs, size of the company, the number of employees, staff turnover, paid time off, leave of absence, and vacation time. Taking time to choose a system that best fits your business will help eliminate any possible issues in the future. 

 

RTI

The government has introduced real-time information (RTI) in order to have an accurate and complete picture of the taxes and other deductions paid. For this reason, HMRC asks employers to use software that is suitable and compliant with RTI processes and regulations. Business must stay compliant with HMRC policies in order to remain in good standing and avoid any possible fines and penalties. 

 

7 most used Payroll Software UK in 2020

 

1. KashFlow - used mainly for small businesses and can be used alone or linked to its online version. Thanks to this integration, employees can check and access their payroll.
2. SageOne Payroll - programmed by one of the most famous accounting software, it can be easily integrated with other Sage systems for even faster management. It can be tried for free for 30 days and then moved to £6 per month if you have less than 5 employees.
3. BrightPay - has a nice design and offers quick free online support. It also offers a wide range of personalization of payroll for small commercial enterprises. There is the free version for those with a maximum of 3 employees or the complete and unlimited package for £199 per year. 
4. MoneySoft - this program is designed for UK medium-sized businesses and only £72 per year for up to 20 employees.
5. QuickBooks - commonly used for accounting purposes also offers a payroll system. Using QuickBooks for both accounting and payroll could help save time and money. If you are looking at various options and would like to test it out they offer free 30 day trials. 
6. Xero - like quickbooks Xero comes with a complete accounting and payroll system.In addition employees may also view pay slips, send files, and ask for holidays. It features a mobile app which can be easily downloaded and configured. Xero too can  be tried for a free 30 day trail. 
7. Basic PAYE tools - this is a free system that is provided by HMRC. It manages the salaries for small businesses and is excellent for those who have 1-2 employees and do not want to spend too much on a payroll system. 

 

What we can do for you 

Salary management is an essential task for every company and we here at Taj Accountants are able to offer you a complete service, using the software listed above. Our team of accountants and professionals in London can advise and guide you on the payroll package that best suits your business.

 

FAQs:

 

What does EPS stand for?

 

EPS stands for Employee Payment Summary. An EPS is used to send to the HMRC to request legal maternity, paternity, adoption and more. The expiry of the EPS is within the 19th of the following fiscal month to allow HMRC to apply any reductions.

 

What does RTI stand for?

 

RTI stands for real-time information and it was introduced in 2013. It was the major innovation in income control and management, as employers will have to report every time they pay their employees, rather than every year.