Ingenuity Payroll

Payroll setup

Employer & PAYE Scheme Administration

Maintains employer details required for payroll processing and HMRC reporting.
Maintains the employer's HMRC PAYE reference and Accounts Office reference.
Maintains PAYE scheme information and the applicable tax year.
Maintains employer identifiers and other information required for HMRC payroll submissions.

Employee information

Employee Payroll Records

Maintains comprehensive personal, employment and payroll information for each employee, including names, addresses, dates of birth and other required personal information.
Records and maintains National Insurance numbers, payroll identifiers for individual employments, tax codes and applicable tax bases.
Maintains National Insurance categories, payment frequencies and payment dates.
Maintains starter information and declarations, leaving dates and leaver information.
Maintains director status and other employment indicators required for payroll processing and HMRC reporting.
Maintains employee benefits and expenses information used for P11D processing and reporting.
Supports benefits that are payrolled through payroll, maintaining the taxable benefit values required for the employee's PAYE calculation.
Supports the recording and reporting of benefits and expenses that remain reportable through P11D where applicable.

Payroll processing

Payroll Input

Records salaries, wages and other earnings.
Supports hours, rates and units for employees whose remuneration is based upon time worked.
Processes overtime, bonuses, commissions and other variable payments.
Processes taxable and non-taxable payments as appropriate.
Supports payrolled benefits, with taxable benefit values included in payroll processing and PAYE calculations where applicable.
Supports P11D benefits and expenses information for items that are not payrolled.
Processes additions to and deductions from employees' pay.

Statutory calculation

PAYE Income Tax, National Insurance & Gross-to-Net

PAYE Income Tax

Calculates PAYE Income Tax using each employee's applicable tax code and tax basis.
Applies HMRC tax rates, bands, allowances and rules applicable to the relevant tax year.
Supports cumulative and non-cumulative PAYE calculations and tax refunds where applicable.
Maintains current-period and year-to-date taxable pay and Income Tax values.

National Insurance

Calculates employee and employer National Insurance contributions.
Applies the appropriate categories, thresholds and rates.
Maintains current-period and year-to-date National Insurance values.
Applies appropriate calculation rules for directors and other employees requiring special NIC treatment.

Gross-to-net payroll calculation

For each payroll, Ingenuity calculates and maintains gross pay, taxable pay, PAYE Income Tax, employee and employer National Insurance, Student and Postgraduate Loan deductions, statutory payments, pension contributions, other additions and deductions, net pay, employer payroll liabilities, current-period values and year-to-date values.

Statutory processing

Statutory Payments, Student & Postgraduate Loans

Statutory payments

Calculates and records statutory payments applicable to employees.
Supports Statutory Sick Pay.
Supports applicable statutory maternity, paternity, adoption, shared parental, parental bereavement and neonatal care payments.
Maintains information required to report and, where applicable, recover qualifying statutory payments.

Student & Postgraduate Loans

Maintains employees' applicable Student Loan plans.
Calculates Student Loan and Postgraduate Loan deductions.
Maintains current-period and year-to-date loan deductions.
Reports appropriate deductions to HMRC through RTI.

Contributions & deductions

Pensions & Other Deductions

Records and processes employee pension contributions and records employer pension contributions.
Supports deductions from gross or net pay as appropriate.
Processes other authorised payroll deductions.
Records and processes deductions such as Payroll Giving and child maintenance deductions where applicable.

Employee documents

Payslips

Produces payslips for employees in appropriate printed or electronic form.
Identifies gross pay and net pay.
Identifies applicable deductions, including PAYE Income Tax and National Insurance.
Provides details of other payroll additions and deductions.
Provides hours information where required for employees whose remuneration varies according to time worked.

HMRC reporting

Real Time Information, FPS & EPS

Full Payment Submission (FPS)

Generates FPS information in the format required by HMRC and electronically submits it under RTI.
Includes required employer, PAYE scheme, employee identification and employment information.
Reports pay, deductions, National Insurance, Student and Postgraduate Loans, statutory payments, starters, leavers and other statutory indicators as applicable.
Supports submission on or before the applicable employee payment date.

Employer Payment Summary (EPS)

Generates and electronically submits EPS information when required.
Reports periods when no employees have been paid and periods of inactivity.
Reports recoverable statutory payments and supports Employment Allowance information where applicable.
Reports CIS deductions suffered and Apprenticeship Levy information where applicable.

HMRC communications and submission control

Ingenuity validates payroll information prior to submission, receives and records HMRC responses, identifies rejected submissions and associated errors, enables incorrect information to be corrected and resubmitted, and maintains an audit trail of HMRC submissions and responses.

Employment lifecycle

Employee Starters, Leavers & End-of-Year Processing

Starters

Records information required when an employee commences employment and the appropriate starter declarations.
Establishes appropriate initial PAYE treatment and payroll identity.
Records Student and Postgraduate Loan information where applicable.
Includes required starter information in the relevant FPS.

Leavers

Records leaving dates, calculates final pay and deductions, and reports employees as leavers through RTI.
Produces appropriate P45 information.
Retains payroll history after termination and supports appropriate treatment of post-leaving payments.

End of year

Performs payroll processes required at the end of each tax year and maintains final year-to-date payroll totals.
Supports required final RTI reporting and produces P60 information for applicable employees.
Retains completed tax-year information and carries forward information required for the following tax year.
Applies applicable rates, thresholds, allowances and other statutory parameters for the new tax year.

Employer reporting

HMRC Liabilities

Calculates PAYE Income Tax liabilities and employee and employer National Insurance liabilities.
Calculates Student Loan and Postgraduate Loan amounts due to HMRC.
Calculates other applicable payroll liabilities, including the Apprenticeship Levy where appropriate.
Takes account of recoverable amounts and other adjustments reported through the EPS.
Provides information required to establish the employer's payroll liability to HMRC.

Control & traceability

Payroll Records, Corrections & Audit Trail

Records & audit

Maintains detailed payroll calculations, employee pay and deduction histories, and current-period and year-to-date values.
Maintains statutory payment information, FPS and EPS submission details and HMRC responses.
Provides an audit trail of payroll transactions and adjustments.
Retains information showing how payroll calculations and statutory deductions were derived and provides historical information for reporting, reconciliation and audit.

Corrections & adjustments

Enables payroll errors and omissions to be corrected.
Recalculates affected PAYE, National Insurance and other statutory deductions.
Maintains details of adjustments and corrected values.
Supports reporting corrected payroll information to HMRC using the appropriate RTI process while preserving payroll history and audit information.

Ongoing maintenance

Tax-Year & Legislative Maintenance

Supports the statutory payroll rules applicable to each tax year.
Maintains PAYE tax rates, bands and allowances.
Maintains National Insurance thresholds, rates and categories.
Maintains Student Loan and Postgraduate Loan thresholds and rates.
Maintains applicable statutory payment rates and thresholds.
Supports HMRC RTI data and validation requirements applicable to payroll submissions.
Applies statutory payroll parameters appropriate to the relevant payment date and tax year.