You may be aware that there are some tax changes that will come in on 6th April 2016 which could affect your payroll costs for 2016/17 onwards. To help you understand these adjustments we have highlighted the key changes to demonstrate how they may affect you.
1. Employment allowance increases to £3,000
Most employers can claim back the first £3,000 of Employer’s NICs on staff salaries per annum (Increased from £2,000).
There are some exclusions including companies with only one director and no other employees.
2. The National Living Wage comes into force
Employees ages 25 and over are entitled to a minimum rate of pay, equivalent to £7.20 per hour.
3. The new National Insurance rules for apprentices under 25 start
If you employ an apprentice under the age of 25 who is following an approved UK Government apprenticeship, you won’t have to pay Employer’s NICs on their wages, provided they don’t earn more than £43,000 pa.
If our payroll team already look after your payroll administration then we’ll make sure you claim the relevant exemptions and comply with the legislation.
If you are interested in outsourcing your payroll, or have any queries on the above, please contact Alycia Catterall on 01925 761 600 or email her at: email@example.com