Payroll

Creating a new employee record in Sage 50cloud Payroll.

When someone new starts at your business you will need to set up a new employee record.  The details of the new employee are then included in the full payment submission (FPS).

There are two ways of creating a new employee:

• The Employee Wizard – enter personal details, tax code, NI number and information from the employee’s P45, all in one place.
• The Quick Employee option – enter the employee’s basic information.

To enter your employee’s details you will need a copy of their P45.  If they don’t have a P45, you need to ask them to complete a starter checklist (this can be downloaded from HMRC).

If you have staged for automatic enrolment and are using the Pension Module, remember to leave the pension scheme details blank.  This is so the employee can be assessed when you process you pay run.  They will be automatically enrolled it they meet the criteria.

Add an employee via the Employee Wizard

1. Click Employee, then click Employee Wizard.
2. Click Next enter the employee’s name and address.
3. Click Next enter the employee’s personal details.
4. Click Next enter the employee’s employment details.

These are matched to HMRC records when you submit your FPS

1. On the Have you conducted a Right to Work check ? list, click the relevant option.
2. Leave the RTI Payroll ID blank, as it’s created automatically when you save the record.
3. Click one of the following:

• P45
• P46 – If your employee doesn’t provide a P45, you must ask them to complete a starter checklist.

4. If relevant, select Is your employee in the Government’s Welfare to Work programme?
5. On the Start Declaration list, click the employee statement.
6. Enter the remaining information from the employee’s starter form, then click Next.
7. Ensure the employee’s tax code is correct.
8. Enter the employee’s national insurance (NI) number and category, then click Next.
9. Continue through the rest of the wizard, completing the relevant information.
10. Click Finish.

Add an employee via the Quick Employee option

1. Click Employee, then click Quick Employee.
2. Enter the employee’s details, ensuring you complete all details marked with an asterisk *.
3. Click Save and Clear.

If you would like help adding a new employee(s) or need any other help or advice with your payroll please contact us

Accounts

VAT Changes for Hospitality, accommodation and attractions

To help businesses in the hospitality, holiday accommodation and attractions sectors, the Chancellor has temporary reduced rate of VAT to 5% from the 15 July 2020

In Sage 50 Accounts you can edit and add tax codes in the software.  You can create a new tax code to represent the temporary 5% VAT rate, making it easier to identify transactions you have entered during this temporary reduced VAT rate period for reconciliation and analysis purposes.

Create a new tax code

You can use a new tax for transactions that qualify for the reduced VAT rate.  Sage recommends using T15, if T15 is already in use, use the next available code.

1. On the menu bar (top of screen), click Settings, then click Configuration then click Tax Codes.
2. Select tax code T15 or the next used available code and click Edit.
3. Complete the Edit tax code window as follows:

Rate :  Enter the required percentage – 5%

Include on VAT Return :   To ensure the transactions are picked up by the VAT return, select this check box.

Reverse Charge :  Leave as “No”

EC Code settings :  Leave the check box unticked

Description : Enter this description: Temporary Reduced VAT Rate.

4. Click OK, then click Apply.
5. Click Close, then if prompted to Save the changes, click No.

Your new tax code is now ready to use from 15^th July.

Remember there are various parts of your program which will need to be updated.

1. Recurring entries – Invoices and Credits
2. Recurring entries – Bank transactions
3. Memorised batch invoices and credits
4. Memorised bank payments and receipts
5. Outstanding Orders and Invoices
6. Customer, Supplier and Product Records

You will need to processes items up to the 14^th July before applying the changes.

If you would like help creating a new tax code or amending any other part of your Sage or need any other help etc. or would like a quote or to purchase an upgrade please contact us

Payroll

Reprinting a payslip from a previous period

It is quick and easy to reprint payslips.

Reprinting a payslip
1. Click Payroll.
2. Select the employee(s) you want to reprint payslips for or if no employees are selected all employees will be included.
3. In Links scroll down and click Reprinting Payslips.
4. Enter the date range as required, you can also select a range for Departments and Cost Centres
5. Click OK.
6. Select the Payslip layout you require, you can then Preview, Print etc as normal.

If you would like help reprinting payslips or need any other help or advice with your payroll please contact us

Accounts

Making lists easier to work with

To make things easier when you’re working with large lists of records or transactions in Sage 50 Accounts, you can add alternative row colours to the lists in each module and gridlines.

How to add colour to your list of records or Transactions

1. On the Menu bar click Tools then click Options then click Colours tab.
2. Under Alternate row colour, ensure the Ignore custom colours check box is blank.
3. For the relevant module click the colour picker.
4. Click the colour you want to use, or to define your own colour, click Define custom colours.
5. To confirm the selected colour, click OK.

How to add gridlines to your list of records or Transactions

1. On the Menu bar click Tools then click Options.
2. On the Ledgers tab, click Show gridlines check box then click OK.

 If you would like help adding colour or grid lines etc. or need any other help etc or would like a quote or to purchase an upgrade please contact us

The Coronavirus SSP Rebate Scheme

 The Coronavirus SSP Rebate Scheme will repay Statutory sick pay (SSP) to you for any current or former employee that you have paid SSP on or after 13^th March 2020.  If you top-up your employee’s pay while they are off sick you can only claim the SSP.  Employees don’t have to provide proof of sickness for you to make a claim to HMRC.

The repayment covers up to two weeks starting from the employee’s first day of sickness, if the employee is unable to work because either:

• Have Corona Virus (COVID-19) symptoms.
• Can’t work because they are self-isolating because some-one they live with has symptoms.
• Are shielding and have a letter from the NHS or a GP telling them to stay at home for at least 12 weeks.

Who can use the coronavirus SSP Scheme?

The scheme can be used by employers if they:

• Are claiming for an employee who is eligible for SSP due to coronavirus.
• Had a PAYE scheme that was created on or before 28^th February 2020
• Had fewer than 250 employees on the February 2020.

Get ready to claim

To use the online service you will need your Government gateway user ID.

Working out your claim

You can claim for multiple pay periods and employees at the same time.  If you are making multiple claims, these claim periods can overlap.

To complete your claim you will need the start date and end dates of your claim period.

• The start date of your claim is the start date of the earliest pay period you are claiming for – If the pay period started before the 13^th March you will need to use 13^th March as the start date.
• The end date of the most recent pay period you are claiming for – You can only can only claim for SSP paid in arrears so this must be dated on or before the date you make your claim.

What you will need

To process your claim, you will need the following information.

• Your employer PAYE Scheme reference number.
• A contact name and phone number in case HMRC need to get in contact with you.
• A UK bank or building society details (only where a BACS payment can be accepted)
• The total amount of coronavirus SSP you’ve paid to employees for the claim period – this should not exceed the weekly rate that is set.
• The number of employees you are claiming for.
• The start and end date of the claim.

The COVID-19 SSP Reclaim Details report

The COVID-19 SSP Reclaim Details report picks up any COVID-19 SSP payments that you have made to your employees and gathers all the information you need to make your claim to HMRC.

If you used the manual SSP option to process any COVID-19 related SSP, the report won’t include the manual SSP.

Download and install the report

1. You will need to download the report

• COVID119SSP report

If you have problems finding this report on Sage’s website please contact us.

2. If prompted save the file, make a note of the file name, report. Depending on your web browser, the file may automatically download to your Downloads folder.
3. Browse to where you want to save it, for example, the Windows Desktop.
4. Click Save.
5. Locate and right-click the saved report file, then click Copy.
6. In Sage 50 Payroll, click Help, then About and then click Program Details.
7. Click the path to the Report directory.
8. Double-click ABSENCE, then click Edit then Paste.
9. Close the window.

Running the COVID-19 SSP Reclaim Details report

1. From the Employee List, select the required employees.
2. Click Reports then click Absence.
3. Click the COVID-19 SSP Reclaim Details then click Preview.
4. In Claim Period enter the required date range
5. in the CV-19 SSP Pay Element, select the required pay element.

This is the name of the pay element that you used to process any COVID-19 related SSP.  For example, Coronavirus SSP

6. Click OK.

The COVID-19 SSP Reclaim Report generates and displays the following information:

• The start and end date of the claim.
• The number of employees in this claim
• The total amount for this claim
• Your PAYE reference
• Your bank account number and sort code.

You can use the information on this report to submit your claim on HMRC’s portal.

If you would like help downloading the COVID-19 SSP Reclaim report or running the report or need any other help or advice with your payroll please contact us

Accounting for Job Retention Scheme Income

Under the Coronavirus Job Retention Scheme, all UK employers can access support to continue paying part of their employee’s salary for those employees who would otherwise be laid off during this crisis.

Creating new Nominal Codes to record GrantsSage recommend creating the following new nominal codes to record when you make Job Retention Scheme claims and when the grants are received, unless otherwise advised by your accountant.

Nominal                       Name                           Management                Category

Code                                                                Report 

1150 or next                  Job Retention Sche        Balance            Debtors

available code               -me Accrued Income      Sheet

4950 or next                  Job Retention Sche        Profit and                      Other Sales

available code               -me Grant Received       Loss

1. On the Navigation bar click Nominal codes then click New/edit.
2. Complete the Nominal Record window as follows:

N/C       Enter the nominal code you want to create, for example, 1150.

Name   Enter the name of the account, for example, Job Retention Scheme Accrued Income.

3. Click Save then click Close.
4. Repeat this process to create the second nominal code.

If not already included, you must add your new nominal codes to your existing chart of accounts.  If preferred you can show coronavirus grants as a separate category on your Profit and Loss.

Record grants claimed

There is no change on how you record your payroll postings in Sage 50 Accounts and you can continue to run your Nominal Link or post salary journals as normal.

We will use the following example

• The company makes a claim for £10,500 on 14^th April 2020
• No grant has yet been received.
• Use T9 as most grant income will not attract a VAT liability.

1. On the navigation bar click Nominal Codes then click Journal entry.
2. In Reference, enter a reference, then in Posting Date enter the date of the claim
3. Enter the following information to record the accrued income.

N/C       Name                           Details              T/C       Debit                Credit

1150     Job Retention Sche        Job Retention    T9        10,500.00

-me Accrued Income      Scheme claim

4950     Job Retention Sche        Job Retention                T9                                10,500.00          -me grant received            Scheme claim

4. Click Save then click Close.

Record grant received

 You should record grants received as a bank receipt to the Job Retention Scheme Accrued Income Nominal code.

We will use the following example

• A government grant for £10,500 on 24^th April 2020
• The grant is received into the company current account, nominal code 1200.
• Use T9 as most grant income will not attract a VAT liability.

1. Click Bank accounts, click Receipts then click bank receipts.
2. Complete the Bank receipts window as follows:

Bank    Date                 N/C       Details               Net                  T/C       Tax

1200     24/04/2020        1150     Job Retention                10,500.00          T9        0.00

Scheme Accrued

Income

3. Click Save then click

If you would like help setting up new nominal codes, including nominal codes in your Chart of Accounts, entering journals, grant income etc. or need any other help etc or would like a quote or to purchase an upgrade please contact us