Syllabus for CPD - Payroll Management

• Understand of the law relating to payroll, discrimination, employment status, data protection and confidentiality
• The legislation for PAYE and National Insurance Contributions (NICs)
• The requirements of the Working Time Directive
• The Statutory Minimum Wage
• Pension scheme and the different types of pension schemes together with the effect they may have on PAYE and NI deductions
• The “Real Time Information” (RTI) scheme
• Deadlines that apply for submitting information to HMRC

• The correct gross pay for each pay period for employees who are paid an annual salary, weekly wage, hourly pay, overtime, piecework and bonuses including statutory payments when appropriate
• Statutory payments of sickness, maternity, paternity and adoption pay
• Paid holiday in advance

• Contracted in and contracted out NI contributions
• NI contributions for a gross pay figure
• NICs for an employee being paid for periods (such as holidays) in advance

• Tax codes
• Calculate the amount of pay that is taxable for an employee with a given tax code and PAYE to be deducted
• Change in tax code issued by HMRC (Forms P6 and P9)

• Student loans, and Attachment of earnings

• NI deductions for Directors
• NI deductions using the “non Cumulative” (“Alternative” or “Table method”) and the “Cumulative Director method”

• The impact BIK has on an employee’s pay and their employer’s costs for; company car, private fuel, loan, private health insurance, other common basic benefits assuming all required details are provided and complete
• Forms P11D, P11D(b) and P9D with details relating to the benefits and the deadlines by which they must be submitted

• The basic principles behind CIS
• Understand the duties of a contractor to verify sub-contractors
• Correctly calculate the amount of tax to be deducted if applicable
• Understand how to make appropriate adjustments to payments to HMRC for CIS tax
• Accurately complete a CIS300 form at month-end for a contractor business in the construction industry
• Accurately complete a CIS132 form at month-end for a subcontractor business in the construction industry
• Understand the duties of a sub-contractor to submit relevant invoices within appropriate timescales
• Explain why tax may be deducted at source from such an invoice
• Understand the different methods of reclaiming tax deducted depending on the legal entity of the business (i.e. sole trader v limited company)

• P45, P46, P11 & P60

• Installing, setting up, configuring and using it to produce accurate, comprehensive reports from a range of payroll scenarios encountered in a business of up to 10 employees.
• Setting up the details of a new business including appropriate company and existing employee details. Some existing or new employees may be directors who undertake to have their NI deducted using different methods or employees who work irregular hours. Enter and process payroll for a variety of different pay periods and produce reports detailing gross pay, deductions and net pay for each period
• Periodic back-ups of payroll-related information.
• Produce summary reports
• Deal with new employees, and employees leaving
• Carry out or simulate a month end procedure under RTI and produce a number of required reports including potential adjustments resulting from CIS deductions and any other recoverable amounts. Note: under the new RTI scheme it is impossible to produce the month end information unless you are using a live business. Be prepared to be able to show what information would be submitted or to explain how this would work

• Making advance payment of holiday pay to an employee
• Making a bonus payment to a defined range of employees
• Configuring an attachment of earnings
• Setting up a pension scheme for a range of employees.
• Making Statutory payments for Sickness, Maternity, Paternity, Adoption
• Processing a change to an employee’s tax code or basis under which a tax code operates
• Configuring deductions of student loan repayments