Payroll question re: deductions

[perplex]

Hi,

When a company pays staff on a PAYE basis, for example four weekly. There's the net pay figure that is paid to the staff, but what happens to the tax elements (NI etc) that have been deducted to derive the Net figure? How are they transferred to the government?

Thanks

 

[David Griffiths]

:|

By cheque. Or Bacs transfer.

 

[perplex]

:|

By cheque. Or Bacs transfer.

Hi, thanks for the reply. What i mean is do you have to state the NI that was deducted etc on some kind of employer tax form?

 

[Williams lester]

Hi, thanks for the reply. What i mean is do you have to state the NI that was deducted etc on some kind of employer tax form?

You will pay over the PAYE/Ni either monthly or quarterly to HMRC, then at the end of the tax year sumbit a P35 & P14's.

 

[elaine@cheapaccounting]

Did you register as an employer?

Did you get a payment book?

 

[Tom McClelland]

Your payroll software should print a document called a P32 for you.

THis should show you very clearly how much you owe HMRC, in total, each PAYE month. If the monthly total is usually less than £1500 you can arrange to pay quarterly rather than monthly.

You pay them either by sending a cheque with one of the yellow paying slips that they sent you when you registered as an employer.

Or you can pay them by bank transfer, quoting the accounts office reference from the yellow paying book.

Or I think you can log into PAYE-online on the web, give them your bank account details, and they'll take the amount of money that you tell them each month (I've not used that method personally because it seems easier to just do an internet bank transfer myself)

 

[perplex]

Thanks for all the replies.

We have registered as an employer and got a PAYE reference but our accountant might have it as he registered on our behalf. Although I remember him saying it should be on the way. Will chase up.

By the way, we outsource payroll so we just submit the hours and hourly rate and they return the net pay and other figures.

Thanks again.

 

[elaine@cheapaccounting]

You should be paying your PAYE - see here for details:

http://www.hmrc.gov.uk/paye/file-or-pay/payments/deadlines.htm

 

[Tom McClelland]

By the way, we outsource payroll so we just submit the hours and hourly rate and they return the net pay and other figures.

As part of that service your payroll bureau should return you the P32 so that you know exactly how much to pay HMRC.