Evening everyone. I am looking for clients and when I am talking to potential clients, some of them require payroll.
I understand payroll and the principles, but have never done it. I use QBO and there is a payroll module on there. Can I use that to do payroll? or do I need a qualification? They are not big payrolls, mostly under 10 employees but I am worried I may be losing potential clients.
I need to get myself registered as an agent with HMRC too - this would cover me for VAT returns and also RTI returns?
If there is a payroll module then yes you can use it. BUT, can it cope with AE (Auto enrolement)? Does it provide payslips and all the reports you or hey will need? I cant speak for it - never used it. Would recommend Moneysoft though.
No you dont need a qualification to do payroll, but whether its wise to do it is another matter. Small payroll doesnt mean its easy as Im sure a few will bear out on here with some of the queries they have had to post. So the question is - could you cope with payroll, AE/do you have an understanding of employment law. One person payroll can throw spanners in the works - think maternity/paterniry payments and rights and holidays etc. Plus what advice would you provide to a Director wanting to know how much to take out and what NI scheme they should use. Not trying to be negative but this is a complex area. if you are prepared to read up all the manuals that HMRC provide then fine (although you will still need to understand employment law to some degree as some clients try all sorts on to diddle their staff out of what is rightfully theirs and you will become responsible not only to your client, but have a duty of care to their staff.
Agent status - you would need to apply for agents status dependent on what you offer, the services are all separate - VAT, PAYE, SA, CT etc.
A LOT of bookkeepers and indeed Accountants farm out the payroll work - deal with it correctly and you should not lose ANY clients because you dont offer it.
Also - care re your PII - does it cover you for this, given you arent trained. Also - same care re your licence - does it cover you?
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
You'll definitely need an agent account to do VAT and RTI submissions, you need to register them separately once you have your agent account, but you only need one login to do both. If you're doing self assessments you can't use the clients log in anymore, as HMRC will block you if you do different logins from the same computer,.
You don't need a qualification, but obviously you need to know the ins and outs to do it. If you want to add payroll to your portfolio but not do the processing I do offer a white label product. Feel free to pm me if you want further details.
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John
Any advice given is for general guidance and professional advice should be sought applicable to your circumstances.
I would suggest a payroll course before you go any further tbh.
White label means John would provide the payroll service, not add any of his business logos etc so you can subbie the work out and your client does not need to know. You could even then add your own logos etc if required.
I do the same already for others, including someone from this site.
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
