14th December 2015
As a payroll person you’re probably in the thick of it trying to sort out payroll so that your team can be paid before the festive break.
Don’t forget these important things:
Christmas Day and News Years Day are on a Friday
If you’re not already on it you may need to bring your normal salary pay date forward by a day or two in order to pay everyone on time.
Avoid a hangover with Christmas Party tax implications
There is a tax exemption for ‘annual parties’ which are available to all staff and this is set at £150 per head (inclusive of VAT). There are rules around this and going over this limit creates a benefit in kind. Apply the correct rules and it should be party poppers all the way.
Giving Christmas bonuses and gifts – make sure your secret Santa doesn’t become a Turkey
Attributing the correct tax to bonuses or gifts can create a real Christmas hangover for your payroll team, with definition needed on who a gift is for, how much they earn and whether it can be resold for cash.
Christmas working hours
A good number of companies choose to stay shut over Christmas and New Year. But you may be one of those companies that finds itself with employees still working over the holiday period. Don’t be a scrooge – Keep those employees happy by ensuring they’re paid on time.