The Autumn Statement 2023 has brought significant changes that will have a profound impact on businesses and individuals alike. In this blog post, we will delve into the key updates announced in the Autumn Finance Bill, focusing on the keywords ‘Autumn Statement 2023’ for the KA Farr website. Significant Changes in the Autumn Statement The Autumn Finance Bill has introduced a game-changing update for businesses. The ‘Full Expensing’ deduction, which allows companies to claim a 100% first-year deduction on qualifying new investments, will now be a permanent feature. This move aims to encourage businesses to invest in their growth and […]
Category Archives: Payroll
When it comes to making employees redundant, it is not just a difficult decision for employers but also a potentially distressing situation for all parties involved. Mistakes in the redundancy process can lead to legal claims and tribunal cases. That is why seeking professional advice is crucial. Termination of Contract Terminating an employee’s contract involves various aspects, including the final payment. Apart from the regular earnings (salary, accrued holiday pay, accrued bonuses, etc.) up to the last working day, the termination award consists of additional payments made specifically upon the termination of employment. Such payments may include statutory redundancy pay, […]
When it comes to paying your employees, complying with the National Living Wage (NLW) or Minimum Wage (NMW) is crucial to avoid penalties and reputational damage. To help employers navigate through the complexities of paying the correct minimum wage, HMRC has identified 18 common errors that you should be aware of. In this blog post, we will delve into each of these errors, providing actionable insights to protect your business and ensure you are paying your employees correctly. 1. Making deductions that reduce the worker’s pay below the statutory minimum One common error is making unauthorized deductions from an employee’s […]
In a move to enhance tax compliance and tackle tax evasion, HM Revenue and Customs (HMRC) is set to implement new regulations on data collection. These changes, effective from April 2025, will have a significant impact on owner managed businesses and individual employees. In this blog post, we will delve into the details of the HMRC data collection requirements and explore the implications for businesses and employees. Understanding the New Rules Under the new regulations, owner managed business directors will be subject to increased scrutiny regarding dividend payments. Employers will also be obligated to report individual employees’ working hours. These […]
Among the numerous changes within the UK economy, a few things will be implemented in the coming weeks that will greatly affect people. A few that are worth highlighting are the national living wage and corporation tax changes. National Living Wage changes From April 1st 2023, the National Living Wage increased to £10.42 per hour for those aged 25 and over in the UK. This is a significant change from the previous rate of £9.50 per hour and marks an important milestone in providing a fairer deal for low-paid workers across the country. The National Living Wage is a new […]
With the recent surge in cost of living prices, it’s easy to miss other important news that you need to take notice of! So, in today’s blog, we will discuss the National Insurance changes and what that could mean for you. What are the changes? It has been announced that from April 6th employers, employees and the self-employed will pay an increase of 1.25p for National Insurance. But why the change? Why the increase? The increase of tax will go towards the NHS and funding health and social care in the UK. The Government stated that the extra funding will […]
HMRC has introduced a time-saving template that streamlines the process of making furlough claims. The new template can be used to claim the coronavirus job retention scheme (CJRS) for companies with between 16 to 99 employees. Both payroll agents and internal payroll teams have spent the past 12 months manually inputting CJRS information. However, companies with up to 99 employees will now be able to upload the details with a single template for their claim. The template which launched on the 27th of May 21 allows employers to upload details of claims of 16 to 99 employees at the same […]
Furlough scheme is extended to March For those businesses affected by the increased restrictions necessary to curb the coronavirus pandemic, additional economic support has been announced by the Chancellor. The Coronavirus Job Retention Scheme (CJRS) otherwise known as furlough was originally due to end on the 31st of October. However, the Government has announced that the furlough scheme is extended to March. This means that the CJRS will now be extended by five-months until the end of March with the government paying 80% of wages for the hours that furloughed employees do not work. SEISS Also Extended Similarly, support for […]
Update On Part-time Furlough, Changes To The Coronavirus Job Retention Scheme And The Second Self-employed Income Support Scheme. On the 28th of May, the Chancellor Rishi Sunak announced plans to end the eight-month coronavirus job retention scheme (CJRS) and self-employed income support scheme (SEISS) by gradually withdrawing taxpayers’ contributions from August. Whilst outlining his plans Mr Sunak said that he intends to reduce contributions to the furlough scheme as it “cannot continue indefinitely”. This means that in the final phase of the eight-month scheme employers will be asked to “contribute, alongside the taxpayer, towards the wages of their staff”. CJRS […]
The coronavirus job retention scheme is a temporary scheme open to all UK employers for at least three months starting from 1 March 2020. This scheme exists to allow employers to claim for 80% of furloughed employees’ (employees on a leave of absence) via an online portal. The claim can be made for usual monthly wage costs, up to £2,500 a month. (plus associated Employer National Insurance contributions and minimum automatic enrolment employer pension contributions.) The scheme is now up and running and you can make a claim here. Frequently Asked Questions This scheme works very differently from standard payroll […]