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Company To Do Staff Payroll Function - Recommendations Please


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Hi, we discussed payroll at our meeting last week, and I really feel strongly that it is wrong for our unqualified committee members to be in charge of sorting out staff wages. If something goes wrong it's really awkward for staff to protest, plus our treasurer doesn't really have the expertise. Also, the law around wages etc. is quite complicated.

 

So ... please could I have some recommendations for external companies who do this? I know this has been mentioned on here before. I would need a company to take time sheets, work out things like holiday pay, do P60 or whatever it's called, make sure wages and NI etc. are paid.

 

Also, how does it work with an external company? Do staff submit their hours weekly, does leader do this, can they give me monthly updates on staffing costs to go into my cashflow? Would I have to give copy of contracts to the company so they can see what staff conditions are? What happens if someone is absent, etc. etc.?

 

Thanks in advance for any advice.

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Hi Suzie, we have been using a company called The Payroll Company. We phoned each month with the hours staff had worked and they worked out all the NI and tax etc. We had a standing order at our bank to pay a set amount each month to them. It was great for us for the same reasons you cite. But, our accountant discovered they had been sitting on over £4000 of our money, we paid £2500 to them each month but the wages were rarely that much, usually £2200 or so. We had to contact them about it, they said it wasnt a problem to credit our account and they did it quickly but now we have doubts about any interest that might have been earned. So, I would say they are good to use, but ask for a statement each month and for any money you may over what is needed to be reimbursed regulary.

We are in the process of changing over to use our accountants payroll facilities, but as they are local to us and not a nationwide company they might not be any use to you.

:o

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Hi

 

We used to have an accountant that did payroll for £40 per month (8 staff). I had to work it all out, and then calculated any adjustments, he just produced the payslips and posted them back to us, for us to pay by bacs to the staff.

 

It did seem a lot of money and he input someone's tax code wrongly and she ended up with a £700 tax bill.

 

We know use a free online service payroo, which seems to work ok. I input, produce payslips, get committee to sign a form and someone takes to the bank. The treasurer then sorts out paying the Tax and Ni. I be honest it's not that hard, it's not as though we have company cars and a petrol allowance. I managed to do the end of year as well / p45's are fine.

 

The only things thats worrying me at the moment is this thing about rolled up holiday pay. But maybe thats another thread!

Edited by diesel10
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It's things like holiday pay that worry me, plus there was a question about bank holidays at the last meeting that I couldn't answer.

 

Thanks for the advice though really helpful.

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We're not worrying about rolled up holiday pay. Its says its 'unlawful' which we took to mean a different thing to 'illegal'. Anyway when we put it to staff that they might pick up less per month so we could work out the holiday pay seperatly they were horrified so their contracts are going to state that they are aware of the 'unlawful' bit but have choosen this way. Any new staff will be offered the same deal, and god I hope they take it!!!

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Hi Suzie,

 

Try this www. payman.co.uk ........and not far from you.

The Pre-school where I am on the committee have used them for years. I think they cover most bases and our treasurer does very little now involving payroll.

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May be worth talking to the finance department of your local council - we are a PVI but pay Portsmouth City Council to do all of our payroll stuff, and they are really good on maternity/sickness etc, we pay a set amount per person per month ( think it's about £2) plus a quarterly fee of about £15. Not sure if all local councils do this but may be worth a phone call. :o

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Hi,

 

We use the Pre-school Learning Alliance payroll service. Submit hours monthly by the 20th and salaries are paid direct to everyones bank or building society a/c.

 

It works well for us and they do a complete service with end of year P60 etc.

 

Holiday pay is paid as part of staffs monthly salary, so they get the same amount each month. If there is a change eg.they do extra hours or I need to make deductions for swaps, I can advise the payroll folk on a monthly form.

 

Charges were reasonable when we compared them with a pay clerk doing it at an hourly rate.

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