What You Need to Know Payroll in 2024
Welcome to our weekly newsletter, designed to support your business with easy-to-understand tax strategies and top-notch marketing advice to help you grow and flourish. Be sure to subscribe and leave your questions in the comments or share your thoughts on this topic to help fellow entrepreneurs.
In world of the UK business, staying abreast of key payroll dates is essential for smooth operations and compliance. For small businesses in the UK, understanding these dates and their implications is crucial. Let’s dive into what you need to know for 2024:
April 1st – National Minimum Wage Increase
April 1st marks the annual adjustment of the national minimum wage. In 2024, the rates will rise as follows:
This increase necessitates adjustments in payroll to ensure compliance and fair compensation for all employees. Remember, it's not just about those currently on minimum wage; maintaining wage differentials within your team is essential for morale and retention.
6th April – Start of the New Tax Year
With the dawn of the new tax year comes an opportunity to review financial strategies. While tax brackets remain steady until 2028, earlier decreases in national insurance rates offer potential savings. Consult with your accountant to optimize your tax planning for the year ahead.
19th April – Employer Payment Summary
Even if no employees were paid in the previous tax year, submitting an employer payment summary may be necessary for claiming payments or deductions such as the employment allowance.
31st May – P60 Forms
Ensure your employees receive their P60 forms by the end of May. These forms detail their taxable salary from the previous tax year and are essential for their personal tax affairs.
Recommended by LinkedIn
6th July – P11Ds
Summer heralds the arrival of P11Ds, where you must report employee benefits and expenses to HMRC. Remember, transparency is key; provide copies of these forms to your employees as well.
19th July – Class 1A National Insurance (Cheque)
Traditionalists still using cheque payments must submit any owed Class 1A National Insurance to HMRC by July 19th.
22nd July – Class 1A National Insurance (Electronically)
For those embracing modern payment methods, electronically submit owed Class 1A National Insurance by July 22nd.
19th October – PAYE Settlement Agreement (Cheque)
If you have a PAYE Settlement Agreement, ensure all owed taxes and Class 1B National Insurance are settled by October 19th if paying by cheque.
22nd October – PAYE Settlement Agreement (Electronically)
Opting for electronic payments? Settle all owed taxes and Class 1B National Insurance electronically by October 22nd.
Navigating payroll key dates can seem daunting, but with proper planning and attention to detail, small businesses can stay compliant and maintain smooth operations. As seasoned experts with a wealth of experience serving businesses like yours, we understand the challenges you face. If you need assistance navigating these key dates or optimising your payroll processes, don’t hesitate to reach out. We’re here to support you every step of the way.
KRIS NICK is the founder of LOYALS Accountants & Business Consultants, a multichannel brand that aims to help businesses streamline operations and enhance performance. This newsletter is supported by top experts who provide insights into topics aimed at assisting London businesses. Subscribe now and don't miss out on guides that will help you improve by learning from the experts.