Keeping your employees happy is the key to having a successful business in the UK. Delayed salaries will make your workers demotivated and can encourage them to leave. Additionally, problems like incorrect amounts and missed bonuses can discourage your people. As the business owner, it is your responsibility to make sure the payroll goes well. Here are some tips that should help you with that goal.
Trust professionals to do the job
Keeping your payroll straight is not easy. You either need to hire a payroll expert or outsource the task to Central London accountants like those from www.gsmaccountants.co.uk. While it might seem like you only have to give out money on payday, there are several things you need to handle when you pay your employees. For example, you need to register with Her Majesty’s Revenue and Customs (HMRC) even if you have only one employee. They will give you a unique PAYE number when registering so that you can adequately pay off any required taxes and fees. Additional complications include pension and HMRC reporting. You can easily make a mistake if you don’t have the training. Therefore, it is better to hire an expert to handle everything.
Always keep accurate records
Another part of ensuring sound payroll processing is having accurate records. It might seem obvious; definitely, carelessness can cause issues. For example, if one of your employees got a promotion and has no record of it, they might experience a nasty surprise during the next payday. Additionally, new workers might have problems since their data is all new. Some information like birth dates won’t change, but you have to be aware of any changes in your employees’ lives. Marrying, moving houses, and even changing banks can cause problems for your payroll. Avoid this situation by being strict about updating employee information in your records, consider also using a payroll cost calculator and other digital tools in order to correctly sum up the totals you should be paying your employees, this can help avoid discrepancies when it comes to deductibles you need to put aside for things like company pension contributions or other deductions for sick days etc. by using software, you also get that second confirmation that your figures are correct and reduce likelihood of errors slipping through.
Ensure your company’s compliance
UK labour laws are pretty strict about wages, as well as deductions. If you don’t want to be in trouble with the government, you must comply with government rules. For example, every employee has to pay taxes depending on their bracket. This deduction should happen before the release of the pay. They are not the only deductions since the UK requires companies’ pension payments for employees and even insurance. Review these policies regularly so that you know what applies to you.
Be transparent with your policies
Your employees will always worry about their pay. Calm them down by being open about your payroll process. Communicate clearly with your team if there are any delays or changes. For example, you might consider emailing your staff a pay calendar, marking the days when you release the salary. The calendar will help your employees budget their expenses. Additionally, transparency of processes also includes having one point person available so that your people can ask them about any payment issues.
A smooth payroll process reassures your employees that your company is doing well. With their salaries coming in correctly and on time, they will focus on their jobs. Follow the tips above, and you will be sure to keep your workers happy and the business running.
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