Category Archives: RTI

Real Time Information – Will You Be Compliant?

Only one fifth of small businesses are ready for Real Time Information (RTI); an initiative is to be introduced by HMRC from 6 April 2013 for SMEs.  Larger organisations will come on board later this year.   Worryingly, almost half of small employers have no knowledge of this and only a third are only vaguely aware of the imminent changes.  This is of concern, because HMRC will slapping £100 fines on those who do not comply so if is really important to sit up and take notice of what is happening.

With RTI information on pay, income tax and national insurance is submitted to HMRC as the employees are paid, which could be weekly or monthly thereby drip feeding HMRC rather than fill in the annual P35 which will be phased out.

Employers need to ensure their in house software will comply with RTI requirements, however, for those who employ nine or less staff there is free software on the HMRC website.  Employers that outsource their payroll need to ensure that the payroll providers understand their responsibilities in this area.

Employers need to ensure that all employee data is correct as this will need to be submitted; if it is not correct the submission to HMRC could be rejected.  Employers also need to check they are registered for PAYE online.

The following new information will also need to be submitted to HMRC:

Company data
District number
PAYE reference number
PAYE accounts office reference (account number)

Employee data
Surname
Forename
Date of birth
Address
NI Number
Working hours

Employers will also need to submit:
Information on lower paid, temps and casual staff
Changes to employee working patterns
New starters and leavers

If you are interested in attending some Q&A sessions on real time information being organised in Northampton email info@sjbealehrconsult.co.uk for details.

www.sjbealehrconsult.co.uk/employee_reward.com