Hiring new employees is an important and exciting part of every business, whether you’re growing 1 employee at a time, or hiring a whole team at once. By the time your new hires begin, the HR paperwork and administration has been completed, but have you overlooked payroll compliance?
Beyond hire dates, there are many factors to consider when managing payroll and ensuring compliance:
Employee personal data must be accurate and properly stored and protected under the new GDPR regulations, adding new complexity for managing payroll.
Auto-enrolment, tax codes, salary information, and bank accounts must also be carefully verified to ensure accurate payroll.
If you pay employees overtime, reimburse expenses, or have high levels of turnover, your payroll compliance is more complicated and should be audited more regularly.
Automating your payroll is one step to help manage payroll compliance. Online software tools can make payroll simple to manage, and reduce administration time for your team. Look for solutions that can automate the collection of data, provide monthly reporting, and handle auto-enrolment and HMRC filings. Your finance or HR team managing payroll will be able to focus on strategic company initiatives when they don’t have to worry about auditing payroll.
Adding complexity to payroll and compliance this year is GDPR; your email procedures for providing payslips to employees will no longer be acceptable, so make sure you have a secure plan in place to avoid non-compliance. Fines and penalties are extreme (£20 million) and employees can report companies for mismanaging personal data.
Your payroll team should regularly audit the payroll process to check for potential compliance issues. If you are struggling to manage payroll compliance, or need help with day to day payroll management, we can help. Our solutions are easy to use, reduce the administration time for your team, and save money. Learn more
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Payescape Limited is authorised by the Financial Conduct Authority under the Payment Services Regulations 2017 (register number 821826) for the provision of payment services.