Hi all,
I'm new here, and have a question regarding weekly payment and monthly payroll. I pay my employees on weekly basis at £8.72/hr at 31hrs a week, so it's £271/week I transfer every week. But my accountant issues monthly payroll which is £1171.39. That works out (£8.72 x 31hrs x 52weeks)/12months = £1171.39/month.
My weekly works out £8.72 x 31 = £270.32, and my accountant originally asked me I can round up to £271.
Is everything ok here? As I originally asked my accountant I want to pay my employees weekly but they issued monthly payroll so I assume it was ok as total salary matches. Until now I believe they have changed employees who suggested I can't pay like this with monthly payroll despite the total year salary number match.
Thank in advance
regards
johnson
Replies (16)
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Strictly, if they're paid weekly the pay should be calculated and reported weekly, "on or before the date of payment."
But you will need to pay him more
52 operations, not 12
And the Furlough will be even more challenging
Do not believe this was not discussed at the outset
You will either need to find an accountant which isn't lazy and will run weekly payroll seeing as that's what the payroll IS, or move to paying employees monthly.
The current situation is wrong.
Are your employees paid the same each and every week? If so I don't understand why the accountant can't run a batch of weekly payrolls.
How many workers.
What is churn rate.joiners leavers.
Is payroll fixed and limited bonus or adjustment.
How effective are you at getting payroll change details to accountant
Realistically... you will have a window of opportunity the accountant likewise.
A monthly system tends to relieve pressure on both sides.
Both parties make it work.
It is team work and expectations mutually managed.
Do you feel the solution was imposed on you without explanation.
Leaving you dazed and confused.
Please Let's know how you resolve your concerns.
We accountants will learn from your experience. Yes we will.
Thank you
Your accountant is bone idle, I'm afraid.
Although I'm not a fan of weekly payrolls - mainly on the grounds of cost - I do a few for clients who don't seem to care about their accountant's fees.
Take my, and everyone else's, advice and either switch to monthly payments to match your accountant's submissions or get an accountant who will follow the regs and submit weekly.
You're laying yourself open to a penalty every month if you carry on in this way. And you don't have much to offer by way of reasonable excuse.
Weekly payrolls are a pain and I refuse to do them but your accountant is wrong. I suggest you leave the status quo as it is for the current year and move you payroll to another firm from April who is prepared to run it weekly or, as others have said, move to paying them monthly.
Is it possible the accountant is running the monthly payroll at the beginning of the month, so the actual weekly payments are in fact made on or after the date of reporting?
Once the client hears that payroll for a weekly employee will be £520 instead of £120 p/a then they're willing to move the monthly one. I reckon the original op 'forgot' to mention that fact.