Payroll & pensions services

Payroll & pensions services registration

MW Accounting Services provides payroll and pensions services for small businesses in Bracknell. We will help you register your business for payroll with HMRC. This is because if you employ, even just, one person, then you, as an employer, have responsibility to inform HMRC of your employee’s pay. You also have to deduct income tax and National Insurance from your employee’s pay and pay it over to HMRC. Besides, you need a payroll registration too even if you employ just yourself as the only director of your own company.

Payroll & pensions services – submission

In addition to payroll registration, we will also submit your payroll information with HMRC showing all deductions from the employee’s pay. We can process and file your payroll on a monthly or annually basis. Besides, HMRC still has to receive your payroll information even though the employee receives nil pay in that pay period.

Tax code

All an employee will have a tax code, which is a tax-free income you can earn each year. There are several tax codes for employees such as 1257L or BR. If your tax code is, for example, 1257L, this tax code is your Personal Allowance. In other words, it means you can earn £12,570 tax free. The tax code is used to calculate the income tax deduction from the your pay. HMRC, however, can amend your tax code to reflect changes in your circumstances such as benefits you start to receive from your employer or other income you have, for instance, a second job.

Penalties

There may be penalties either for not or for late reporting PAYE information. In order to avoid these penalties, it is therefore important to report it for each pay period. The penalties will depend on the number of employees you have.

No. of employeesmonthly penalty charge (£)
1-9100
10-49200
50-249300
250 or more400

These penalties are either for:

Payroll & pensions services - workplace pensions

The Pensions Act 2008 requires all UK employers, who employ at least one person, to put certain employees into a workplace pension scheme. Both the eligible and ineligible can participate. But only the eligible ones are automatically enrolled. But they can also opt out of the scheme if they wish. However, the ineligible can voluntarily join the scheme as well, and can do so by opting in. Further, both employees and employers must contribute towards the scheme. The aim is to help employees save for their retirement (and perhaps to enjoy your dream holiday!).

Workplace pension contributions

If the employee is an eligible job holder, then both employee and employer must contribute into the scheme. The contribution will be a percentage of the employee’s earnings. And from April 2019, the employee must pay at least 5% of their pay into the scheme while their employer pays 3% (minimum).

Employers, however, will only contribute this minimum amount for those opt ins if their earnings are more than:

  • £520 per month
  • £120 per week
  • £480 over 4 weeks

Our payroll & pensions services

So if you look for all the payroll and pensions services in Bracknell, please feel free to contact us for help with:

  • PAYE registration
  • tax and NIC calculations & deductions
  • monthly or annual payroll submission
  • workplace pensions