Top 5 Tips posts from the SME Blog are always full of hints and tips for small, home & micro business owners.
1. Once you start employing people it is essential that you are aware of your obligations as an employer. In the UK, this means registering as an employer and submitting P35 and P14 forms online to the HMRC. You must also provide a P60 to any employee still working for you.
2. Don’t forget that you will actually have to pay the taxman too. Usually you will have until just after the end of the current tax year to get any outstanding amounts to the HMRC, but be sure to make allowances for postal errors or website downtime that may prevent you from paying, as any delay will result in you being charged interest.
3. Your Payroll Year End takes place at the same time every year so there isn’t really any excuse for not being prepared for it. Make sure that all of the stationery you require is ordered well in advance as you cannot use stationery from the previous year.
4. New employees should bring with them a P45 form that will contain all the information you need for taxation purposes, such as their National Insurance number and tax code. If no P45 is available, you will have to complete a P46 form on their behalf and send it to HMRC.
5. The easiest way for a small business to keep on top of their payroll duties is through the use of online payroll This helps them to save time and avoid penalties they might otherwise incur.