Opera 3 Payroll Processing Training Manual

Transcription

1 Opera 3 Payroll Processing Training Manual

2 Contents Introduction 3 Payroll Processing Steps 4 Ribbon Bar Structure 5 Payroll Processing 6 Employee Record 6 Employee s Payments 6 Payroll Processing Actions 7 Payments and Deductions 8 Calculate 9 Global Calculation 9 Calculation Report 10 Real Time Information (RTI) 10 Full Payment Submission 10 FPS Processing 10 Employer Payment Summary (EPS) 11 The Wizard 11 EPS Processing 11 BACS Submission 11 C/B Transfer & N/L Analysis 11 Update 12 Updating the Current Period 12 Checking the Pay Period 12 P32 Processing 13 Payments 13 Funding 14 Employment Allowance 14 Apprenticeship Levy 15 R Payroll Processing

3 Introduction The Payroll module forms part of the HR solution from Pegasus. The module is specifically designed for employees of your company to calculate individual PAYE & NI. The system allows you to process the wages for the current period and once the current period has been updated, it forms part of the history and can never be changed. The key features of this module are; Calculation of Income Tax and National Insurance Contributions Calculation of employee payments (including salary sacrifice) and deductions. Maintenance and calculation of pensions including National Employment Savings Trust (NEST) pensions and other auto enrolment pensions. NEST is a low-cost and easy-to-use pension scheme that s available for any employer to meet their pension s auto enrolment duties. Refer to for details. Maintenance of calculation of Attachment Orders. Maintenance and calculation of statutory payments, including; Statutory Sick Pay Statutory Maternity Pay Ordinary Statutory Paternity Pay for both birth and adoption Additional Statutory Paternity Pay for both birth and adoption Trade Dispute Tax Refund withheld Retrospective adjustments to National Insurance Contributions Full P32 Processing Online submission of Real Time Information submissions to HMRC Online payslips and P60s (End of Year Certificates) R Payroll Processing

4 Payroll Processing Steps 1. Check Pay Period 10. Update Pay Period 2. Payroll Processing 9. C/B Transfer & N/L Analysis 3. Global Calculation 8. Process Pension Contributions 4. AE Update 7. BACS Submission 5. Print Summary Reports & Payslips 6. FPS & EPS (RTI) 1. Check Payroll Period An important step to ensure you are processing in the correct period. (Utilities Calendar) 2. Payroll Processing This step requires that you add all new employees, ensuring all records are up to date and process leavers. Also ensuring that the correct payments to these employees are entered (Processing) 3. Global Calculation This step runs the calculation on all employees and prints any exceptions/warnings for these employees 4. Auto Enrolment Update The above report will inform you of any employees that need postponing or enrolling into the workplace pension. If any employees have been enrolled, then step 3 will need rerunning. (Global Changes Auto Enrolment Updates) 5. Print Summary Reports & Payslips All required reports to be printed for the period. (Summary Reports T/P, T/D & Payment Reports Payslips, Produce & List BACS) 6. FPS & EPS Transmit the RTI Full Payment Submission & Employer Payment Summary 7. BACS Submission This step will call your BACS software. If successfully transmitted, it will delete this period s BACS file 8. Process Pension Contributions This step will create the pension contribution files. (Pension Reports Contribution File) 9. C/B Transfer & N/L Analysis These steps will update the N/L and C/B with this periods payments. (Utilities N/L Analysis & Cashbook Transfer) 10. Update This step updates the current period and writes the information to history. (Utilities Update) R Payroll Processing

5 Ribbon Bar Structure Processing Where you will undertake any changes to the employee or their payment/deduction elements. (See step 2) Calculation The routine to calculate the current period s wages for all employees in the payroll group also known as global calculation. (See step 3) P32 Processing Allows you to view your outstanding payments to HMRC and record your payments. View Use to analyse gross payments and deductions RTI Submissions Functions which allow you to communicate employees and employer s payments online to HMRC. (See step 6) Summary Reports This section is where you can print audit trails for the current period and year-to-date. Including in this is a report in the style of a P11 report. (See step 5) Payment Reports This section is where you will print payslips and cheques. The BACS and Autopay listing is also listed here. (See step 6) Periodical Reports P45 & P46 reports are printed from this section. Along with this, you are able to print reports for Statutory Sick Pay, Statutory Maternity Pay, Ordinary and Additional Statutory Paternity Pay, Statutory Adoption Pay and reports for attachment orders. Pensions Report This section is where you will print details of your employees pension schemes and create the auto enrolment pension enrolment files and contribution files to send to the National Employment Savings Trust (NEST). Miscellaneous Reports Shows birthdays and holidays EOY/Special Reports Typically an area which is used at year end to print relevant reports or to complete activities for year-end. Global Changes These are the global updates for payroll; Zeroise Payment and Deduction balances Tax Code changes Payment and Deduction changes Pension Scheme Transfer Auto-enrolment Updates Admin Allows you to maintain employee s details and design/generate correspondence to these employees. R Payroll Processing

6 Payroll Processing The Payroll Processing function is where you will enter the relevant details of your employees such as tax code, NI number etc. and enter their payments and deductions. Employee Record Employee s Payments R Payroll Processing

7 Payroll Processing Actions Within Payroll Processing you will be able to undertake the following; Include Historical Using this will include your historical employees in the list View History Previous period records and payslip images Details & Bank Which includes their bank details and home address To Date Includes previous employment figures, gross pay, tax and NI for the current year Payment & Deductions Under the Payments tab, you can see the details of each payment. Under the Deductions tab is where you can see the details of each deduction. Both shown are for the current period you are processing. Pensions Within the Pensions form, you can view the pensions the employee has and the amounts the employee and company have paid in. Attachment Orders Use the Attachment Orders command on the Action menu associated with the Payroll Processing form to maintain details that enable the application to calculate deductions for one or more Attachment of Earnings Orders for the employee. When using this function, you will need to set up a deduction profile for the appropriate type of Attachment of Earnings Order before you can create a deduction. An Attachment Order is issued to an employer by an authority telling them to make a deduction from an employee via the payroll this is a legal requirement. On each payday, you must make the deduction provided the employee s earnings for the pay period are sufficient. The use of Attachment Orders is favoured by the Government for the recovery of debts, fines and liabilities. There are many different types of attachment orders which can be issued by different courts, agencies and authorities. Leavers Use this facility to mark an employee as a leaver. Either leaver this period (last period) or leaver already left (no more pay) Holiday To record that the employee has taken some holiday days in the current period. (This will reduce the amount of days remaining to the employee) Transfer If you have multiple payroll groups, you can use this function to move an employee to another group. Absence If the employee has taken absence days in the period you can record them here. Statutory Payments How statutory payments are calculated depends on whether these options have been selected in the Payroll Utilities Set Options command. Before statutory payments are calculated, payment profiles must be created for the type of statutory payment. See the Payroll Maintenance Payment Profile Help (F1) for more information. R Payroll Processing

8 Payments and Deductions Within Payments & Deductions, you can define which payments and deductions are repeated for each pay period, unless overridden. Once you have set up each employee s payments and deductions, you only need to make the changes that are necessary on a period-by-period basis. The application automatically calculates pay on all payments and deductions you have chosen to repeat each period. Payments & Deductions From the Action menu, you can add new items for that particular employee by selecting Add Item. Payments are set up under the Payments tab and deductions are set up under the Deductions tab. Perm. Value A Permanent value to be repeated each pay period. Although described as Permanent, you can change it at any time. You can override it for a given pay period by making an entry into the Temp value field or update it by using the Global Changes command on the EOY/Special Reports menu. An example of use for a permanent payment is a salary. Temp. Value A temporary value you want to use for the current period only. You can use this to override the value in the Perm. Value field or for the occasional payment such as one off expenses. Units The number of hours for the rate, or in the case of SSP (Statutory Sick Pay)/SMP (Statutory Maternity Pay), units are the number of days. If payments are made on the basis of the number of hours worked, you can enter the number of hours each pay period. If the Retain Units option is selected on the Payment Profile form for the payment concerned, the units are retained and displayed as a default in the subsequent periods. For example, you might want to retain a standard number of working hours for a basic pay element, while leaving overtime elements open without a default. Fractions of hours are treated as either minutes or decimals according to the selection in the Hours and Minutes option on Options Page 2 tab on the Set Options form. Rate The rate per unit. This only applies if you have made an entry in the Units column. Pay is calculated by multiplying the units by the rate. Description The name of the profile. T.P This column will display the value of This Period of the current period once a Calculate has been run. These figures may not be accessed. T.D.L.P The cumulative value of all payments for the profile for the pay year-to-date, as at last period. You can change the value in this box, but this should only be done before you use the Calculation command and when you are creating a new payroll part way through the pay year. T.D.T.P This column will automatically display To Date This Period figures after a calculation is run and may not be accessed Note Employee pay records are not updated with the payments and deductions you define until you use the Calculation command. R Payroll Processing

9 Calculate To check an employee s total payments and deductions in the current period, you can use the Calculate option from the Action menu. Calculate This will show you a summary and calculate the net pay. This function can be completed from the Payment & Deductions form or the Employee Record. Note You don t need to run this function but you do need to run the Global Calculation on the main menu every period. Global Calculation The Global Calculation routine is mandatory and must be ran each period. (See Step 3 on the Payroll Processing Steps). When the Global Calculation is run, you must confirm the payment date. Calculation Payment Dates In regards to the payment dates, you must ensure that the Actual Pay Day doesn t fall on a weekend or a bank holiday. Once you have proceeded to select OK, an exceptions/calculation report will be produced. R Payroll Processing

10 Calculation Report The calculation report can include changes or details that should be checked for individual employees. These can include New Starters, a Statutory payment to an employee etc. Calculation Report Real Time Information (RTI) This is information filed with the HMRC for the current period. See the RTI guide for further information. Full Payment Submission Real Time Information submission can only be sent in the current tax year once the Use Real Time Information option on the Payroll Utilities Set Options form has been selected. This submission includes pay details for the pay period. For example payments, income tax, NI and other deductions such as student loans. The submission also includes details of new starters and leavers this year and employees who have irregular payment patterns. The first FPS is also used to align your employee data with HMRC records. HMRC will expect you to send at least one FPS per month and on the same day you pay your employee s. You will be informed via Generic Notification Services (GNS) if an FPS has not been received. The GNS is part of the Data Provisioning Service (which is used to notify you of tax code changes, for example). FPS Processing Select the Full Payment Submission from the RTI Submissions and follow the wizard through without changing any options unless you are late filing the report. Select Start and print/spool report Select Yes to all the prompts and select OK to the confirmation Answer Yes to the question about submitting now Follow the Online Filing Wizard to complete the submission R Payroll Processing

11 Employer Payment Summary (EPS) This submission is used to reduce the charge calculated from the most recent FPS submission. The EPS is also used to notify HMRC if no employees are paid in a pay period meaning Income Tax, NI and other deductions such as Student Loans are not due. If this is your first EPS for the year, the year to date figures for any recovered payments for statutory payments, CIS Deductions and NICs are also included. The Apprenticeship Levy uses the EPS to notify HMRC of the amount that is due. The figures are year to date and will include your Annual Allowance and Levy Due. The Year-To-Date recoverable amounts displayed on page two are derived from the Payroll P32 Processing form. If you operate more than one payroll company using the same Accounts Office Reference, the EPS must be sent from the consolidated P32 Company. (This is defined in P32 Co. Consolidation box on the Payroll Utilities Set Options form). The EPS must be submitted before payment to HMRC which is due on the 19 th of the following tax month. The Wizard The Employer Payment Summary wizard is designed to enable the file for submission to be quickly created before it is submitted to HMRC using Pegasus Online Filing Manager. EPS Processing Select the Employer Payment Summary from the RTI Submissions and follow the wizard through without changing any options unless you are late filing the report. BACS Submission If you are paying your employees via BACS, you will need to produce an output file from Pegasus for your BACS software to import to ensure all your employees are paid the correct value. Select Produce & List BACS from Payment Reports. By selecting this, it will print/spool a report listing all employees payments and produce a file for your BACS software to import. In your BACS software, import the file that has just been produced and check values against the report created. C/B Transfer & N/L Analysis If you link your Payroll module to your Nominal Ledger and/or Cashbook, you can now run the routines to update these modules. N/L Analysis From within Utilities, select N/L Analysis. Select Create Transfer File and Report. Select OK and print/spool the report. C/B Transfer From within Utilities, select Cashbook Transfer. Select Update Cashbook and Create N/L Transfer File. Select OK and print/spool the report. R Payroll Processing

12 Update The Update routine is used for closing the current period and opening the next period. Once the period has been closed, no changes can be made to it. Updating the Current Period Before starting, make sure no Payroll related forms are open. From within Utilities, select Update. If you need to clear down the currently due figure for any pension schemes, you should select them now. (Click on required pensions). A series of prompts will now be displayed, read each one and answer the questions displayed. (If you select No to any question, the function will terminate). The system will now update all employees To-Date details and attach a copy of this period s payslip to their history. Once completed, select OK. Checking the Pay Period It is imperative that you know you are processing in the current period, so we recommend that you check what period you are currently in. From Utilities, select Calendar. This will show you the current period and if you have run the Global Calculation for this period. (Actual Pay Date will have an entry). Calendar You can also check which Pay Period you are in by selecting Pay Period from the Utilities menu. Pay Periods R Payroll Processing

13 P32 Processing The P32 is the Employer s Payment Record and is used to help calculate and record how much an employer owes the HMRC per tax month. The information is derived from the calculation of the Payroll. Based on information derived from the calculation of the Payroll, the P32 Processing form provides the means to view, maintain and print P32 Employer Payment Record information. When you select the P32 Processing command, the application displays the P32 form which displays the P32 records for the current tax year. For two and four weekly payrolls, weeks 54 & 56 are included in the week 53 line. P32 Form Payments From the Action menu, you have the following routines which allow you to keep your P32 up to date. Monthly HMRC payments should be recorded each month using the Payments routine. Here you specify the month you are paying along with the value, reference and date paid. To record a new Payment, you should select the New icon from the toolbar (Ctrl+N) and select the relevant period and save once you ve entered all the details. Payments Once you have recorded the details and saved, the system will update the amount owing for each month as can be seen in the P32 Form above. R Payroll Processing

14 Funding If you have applied for and received funding in respect of a TAX or Statutory Payment refund, you can record this refund using this routine. Funding Employment Allowance When taking your NI allowance, you can record which month or months it has been claimed in by using this routine. It will be shown and reduce the amount needed to be paid automatically. Employment Allowance It is imperative that these records are maintained as this information is used in the EPS submissions. R Payroll Processing

15 Apprenticeship Levy The Apprenticeship Levy was introduced in April Employers who have a pay bill over 3 million each year would be required to pay the apprenticeship levy. You report and pay the levy to HMRC through the PAYE process. Every employer will have a 15k allowance for each tax year. (If an employer has more than one company, this allowance should be spread across all the companies). The allowance is spread equally across the year. The Apprenticeship Levy can be found in P32 Processing from the Action button. By selecting Apprenticeship Levy, it will show you by month the levy earnings and levy due. Apprenticeship Levy To report to HMRC how much levy is due, you must send an EPS each month. On the second page of the EPS is where the Apprenticeship Levy is located. It includes the annual allowance and the Levy due. (YTD figure). EPS When you come to record the payment for each month in P32 Processing, you will now see that the amount will include the apprenticeship levy which should be paid to HMRC. Payment R Payroll Processing