Am I correct?

I recently went to a seminar on RTI and it all seems to be pretty straight forward.  I currently use Sage payroll to run our payroll with all staff set up under the same PAYE reference.

My concern though is around the FPS.  We currently calculate salaries on a monthly basis as most do, but pay the depot workers who make up the bulk of the headcount on the 26th (which covers pay for a calendar month), and for reasons which I will leave for now, head office and management staff are paid on the 5th of the following month (which covers the same calendar month).  We effectively run one payroll, and split the payments between the two dates.

With the introduction of RTI though, you have to align the payment date and the FPS.  I am correct in saying I will no longer be able to split the payroll as the FPS will have to be done on the same day as the payment date, whether this be the 26th or the 5th?  or will I be able to highlight in Sage those I want to pay on the 26th, run payroll and submit an FPS, and then highlight the head office staff and run a second payroll and submit a second FPS?

 

Sorry its technical .... Sage helpdesk is taking so long!!

Comments

FPS dates - a hot topic    1 thanks

darryl jones | | Permalink

It's the "on or before the date the employee is paid" phrase that is key here & in typical HMRC fashion it's a tad wishy washy shall we say. Looking at your information David you run a single payroll with one PAYE reference & the payroll covers the same calendar period, albeit there are two different payment dates covering certain types of employees.

 

Following the guidance "on or before the date the employee is paid" as long as you submit the FPS before the 26th then you are satisfying this criteria, regardless of whether the employee is paid on the 26th or the 5th of the following month.

 

RTI starts for me on April & with our payroll date of the 28th of each month I'm planning to submit the FPS 3 clear days before that, so in effect the day before the Bacs is sent, leaving me with some breathing room, just in case.

 

That's the plan anyway!

PAYROLLOXFORD's picture

FPS dates

PAYROLLOXFORD | | Permalink

 I am correct in saying I will no longer be able to split the payroll as the FPS will have to be done on the same day as the payment date, whether this be the 26th or the 5th?  or will I be able to highlight in Sage those I want to pay on the 26th, run payroll and submit an FPS, and then highlight the head office staff and run a second payroll and submit a second FPS

You are correct that you will no longer be able to split the payroll runs as you have.   The whole payroll will need to be submitted on or before 26th  This should only present you with a problem if the information required for the employees being paid on the 5th is not readily to hand when you process the employees being paid earlier

If Sage support is giving you a headache you might want to consider changing to 12pay - I have no connection with them, other than being a client, but their support is second to none and I have used a few software suppliers, including Sage, in my time.

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Gathering place for those with an interest in RTI for PAYE.