I have AAT level 3 and Bookkeeping level 1 & 2 with the IAB, I am also currently studying AAT level 4 as well as having 5 years experience in industry.
My MD has asked me to take on payroll which I think I am getting my head around. We deduct pay for sick leave, I can see in the past that the old Accountants would reduce their gross pay for the period in question with no reference to the deduction. Should I not be putting in their gross pay before sick deduction and then show the deduction on their payslip all before tax?
Hi Sara
Firstly can you please add your first name so that it appears below the line on your posts - saves us having to look it up each time we post back to you. (go to profile and then edit).
Secondly - I am unsure if you have covered payroll with the IAB, but if not is it really wise of your boss to have you doing something that costs very very little to outsource yet could become very very expensive if a fudge up is made internally and a court case is the result?
Thirdly - I think we need some more info to clarify the position you face as every business is different. Why are you deducting sick pay from the wages?
Are they paid an element in arrears and an element in advance in their payslips? If yes, does the contract of employment state they will be deducted sick pays from the advance element? Or is there an element that will be paid by the employer?
Are you just then paying SSP?
__________________
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
Hi I think I made my question sound more complicated than what it is
A member of staff has had a day off sick this month. We deduct a day's salary - when I was looking at what the accountant had done in the past I initially thought that he had reduced the employees gross pay, for example:
Normal month £1000 gross pay. 1 day sick = £100 Gross pay shown as £900 with no record of deduction for sick day, however on further investigation I can see that the sick day has been noted on the payslip in the past.
Payslip shows £1000 Gross pay with £100 deducted for sick day
I am currently self studying Payroll with the IAB at the moment so not yet qualified and appreciate your comments with regard to getting this outsourced which isn't something we have ruled out, at present we are in the middle of changing over accountants and have taken payroll in house for the time being.\
Many Thanks
Sara
-- Edited by Dottylou on Wednesday 29th of May 2019 08:39:42 AM
Is the worker salaried (same amount each month) or only paid for the hours worked? (careful of the definition, Im not referring to sick days).
Dont go off what the Accountant did before, the law changed from 6 April this year about what specifically has to go on payslips and how they are worked (hence my Qs above)
__________________
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
I believe it is written into his contract that Sick days are not covered other than what can be claimed as SSP. He is Salaried as same amount every month
