From the 1st of January 2024, the introduction of Section 897C into The Finance Act 2022 will require employers and payroll processors to report details of certain payments made to employees and directors. Where you make one or more of the payments listed below, you must submit the details electronically to Revenue. This submission must be made on or before the payment date.
It should be noted that the new requirements from January 2024 represent phase one of Enhanced Reporting Requirements (ERR). Revenue has not yet indicated what will be included in future phases.
Since January 2022, employers have been able to reward employees with up to two small benefits each year. From 2024, employers will be required to report to Revenue, the value of the benefits paid to each employee.
These non-cash benefits are tax free and must not exceed a combined total of €1,000 in value. After surveying 125 of our payroll customers, we discovered that 76% of them offer their employees a small benefit, such as gift cards during the festive season. It's always nice to see employers going the extra mile for their valued staff!
For the days an employee is working from home, they may be eligible for tax relief on expenses such as their heating, broadband and electricity. To ease the financial burden, employers can pay employees up to €3.20 a day without paying any tax, PRSI or USC on it.
For each employee you are paying a Remote Working daily allowance to, you are required to report the total of number of days they are receiving the allowance for, and the rate being paid.
If you have employees who travel for business or who are working away from their employer’s base, you can reimburse them for their travel expenses. You can also reimburse them for subsistence costs when they are temporarily away from their usual place of work, such as the cost of staying in a hotel or the cost of a meal.
The following items and the amounts paid must be reported for each employee and/or director:
Revenue (through ROS) will provide a means of manually submitting ERR details. It is our intention to provide an alternative to this manual system, working alongside your payroll software, to save time and provide more accuracy. We also hope to provide guidance in relation to qualifying criteria and backup documentation required in the event of a query by Revenue.
From our customer survey, we found that 14% of those surveyed reimbursed employees’ expenses as part of the normal payroll run, 34% reimbursed employees as soon as they submitted a claim, and 22% reimburses both through payroll and on an ad hoc basis. We aim to design our system in such a way that where travel and subsistence is paid as part of a normal payroll run, the relevant ERR submission can be made as seamlessly as possible. Further information on ERR will be published by Revenue in due course.
Now that 2023 is almost upon us, let’s get you up to speed on your year-end duties. Here are some final things to note, and some common questions that’ve come in, so you can have Thesaurus Payroll Manager all set and ready to go for January.
To purchase your licence for the new tax year, simply login to your BrightID. From here, go to ‘Licences’ and ‘purchase a desktop licence key’. Just select the type of licence you require, select a payment method and enter your billing details. You’ll then be emailed your licence key. To download the software for the new tax year, click here.
On the open screen, select? ‘Import from last year's payroll'?or go to?File > Import files from 2022. Select last year’s payroll software. All employer files will appear and you simply select employer from the listing and click the double right arrow button to bring them across into the new tax year. If you have multiple employers to import, select them from the central box and repeat the process. Thesaurus Payroll Manager will let you know when the data has been imported.
Please note that?if you’re using the standard version of Thesaurus Payroll Manager and the software is installed to the default directory, you’ll be offered an automated import.
Year-end summary reports are available under ‘Reports’ > ‘Year end Summary’ and can be printed or copied into excel.
P60s are no longer used as of 2019, and have been replaced with Employment Details Summary (EDS). This is essentially a summary of an employee’s pay, income tax, USC, PRSI and LPT and is available for to access, print or save through Revenue’s myAccount. We advise that employees wait until after the 15th of January to access their EPS, as employers can make corrections on them up until this date.?
P35s are also no longer used, and have been replaced with PSRs that are submitted each pay period through your payroll software to Revenue.
RPNs for next year will be available in December 2022, but won’t be updated in real time until 2023. If an employee’s payment date is 2023, you must use 2023 RPN as a 2022 RPN can’t be used in 2023. We advise payroll processors to not make payroll submissions with a 2023 pay date until the RPNs are available, as emergency tax will apply.
A ‘Week 53’ is when there’s an extra day in the tax year and a pay day falls on the 31st of December or, in a leap year, on the 30th or 31st of December, and is not the employee’s normal payday.
It only applies to employees who are paid weekly (53 weekly payments) fortnightly (27 fortnightly payments) or every four weeks (14 four-week payments) pay days in the year.
If a ‘Week 53’ payment applies to an employee, PAYE Regulations state that the employers should use the latest RPN to apply an extra pay period’s Tax Credit and Cut-Off Points, and deduct Income Tax and USC on a Week 1 basis. No additional tax credits or rate bands are due.
Your payroll software should automatically apply the rules outlined above. Just make sure to run ‘Week 53’ as a separate payroll run to other pay periods, so the is submitted with the correct payment date to Revenue.
Please note that?Thesaurus Payroll Manager will always offer a Week 53 option subsequent to the completion of Week 52. However, it should only be used if, on completion of week 52, there’s a subsequent pay period within the same tax year. If an employee's normal pay day has changed during this tax, additional USC cut off points don’t?apply.
To let the software know and prevent these extra USC cut off points from being allocated, go to Employees > Add/Amend Employees > Select the employee > Click the Revenue Details tab > Tick to indicate exemptions/exclusions apply > tick to exclude the employee from the week 53 USC concession > update to save the change.
If an employee’s pay straddles between two tax years, credits and rate bands?cannot?be given in advance. So if an employee is receiving two weeks of pay on the 23rd of December this year for the following two Mondays on the 26th December and 2nd January, the payment date must be reported as December 23rd using the credits and rates from week 52. They will then receive the benefits of two weeks’ credits and rate bands in week 2 of 2022. ‘Week 53’ will not apply to this situation and if attempted, will result in underpayments to employees.
Here at Thesaurus Payroll Manager, we work hard behind the scenes to ensure our payroll software has all the latest updates, and is simple and easy to use. For all the latest payroll trends and news, subscribe to our newsletter. Interested in learning about more about Bright’s products? We offer a range of multi-award-winning payroll, HR, accounting, tax and practice management software. Book a demo today to see what you’re missing.
Safeguarding your business for the future is crucial. This could mean protecting your business against threats like cyber-attacks or implementing changes that ensure your business can grow successfully. Streamlining your current business processes can allow you to work more efficiently, while also preparing you for business expansion or any unforeseen events the future might bring.
To improve your business, it is essential to keep up with the latest technology. Examples of this could be backing up your data to the cloud, going paperless, or using an employee self-service app to take care of HR tasks.
Payroll software, Thesaurus Payroll Manager, offers a cloud-extension product called Thesaurus Connect that is a one-stop shop for all your business's payroll and HR needs. Thesaurus Connect offers a number of features that can help you to streamline your business processes, and safeguard for the future.
Cyberthreats are extremely common, in 2021, it was reported by the Irish Examiner that 90% of Irish businesses had seen a rise in cyber-attacks in the previous twelve months. Therefore, backing up your data to somewhere other than your computer’s hard drive is vital for keeping you and your employees’ data safe. Using cloud storage to back up your data is not only convenient for the user as it doesn’t require the use of external hard drives, but it also helps ensure that your data is safe from hackers or cyber-attacks.
Thesaurus Connect, when used alongside Thesaurus Payroll Manager, can help protect your company against ransomware attacks by storing all your payroll data in the cloud. Thesaurus Connect automatically backs up your payroll data to the cloud every 15 minutes, and once again when closing down the employer file, making sure your data is safe. You can restore a backup on your PC or you can simply download a backup onto a new computer, making it easy to access, anywhere, any time. This means that should the worst happen, for example, if your computer is stolen or damaged, you will always be able to retrieve your payroll data.
When you connect your payroll software to Thesaurus Connect, you can invite your employees to access the employee self-service app. This can be downloaded on any smartphone or tablet device, or it can be accessed through an internet browser. Through the app, your employees will be able to access and download all their new and historic payslips, meaning you won’t need to distribute them or send them past payslips when they are requested. This will give you more time for other important tasks, rather than wasting time trawling through files. As well as this, if your employee’s personal details change (e.g., they move house or change mobile number), they can change these details themselves through the employee self-service app.
Documents which you want employees to read can also be uploaded to Thesaurus Connect’s online dashboard. You can then choose which employees will have access to these documents, and employees will be able to view them through the employee portal. As a lot of employees now work remotely or work a hybrid working model, sharing documents through Thesaurus Connect can be a simple way of ensuring that important documents are read, such as contracts of employment or a staff handbook.
As an employer, it can be difficult to juggle many tasks at once. One task which is essential, but can become difficult to manage, is dealing with annual leave requests from employees. Thesaurus Connect allows your employees to request annual leave through the employee app. You can then approve or deny the request from Thesaurus Connect’s online dashboard. This allows you to deal with annual leave requests in a way that is transparent and fair. Through the online dashboard, you can also view a companywide leave calendar, which allows you to easily track which employees are on leave, and the type of leave they are on. Other team members can be delegated the task of dealing with annual leave requests for selected employees, taking another job off your plate.
Ultimately, Thesaurus Payroll Manager’s cloud extension, Thesaurus Connect, will help you optimise your time, safeguarding future growth and development.
Why not book a free 20 minute demonstration of Thesaurus Connect to see the benefits for yourself.
Do you backup your data regularly? 17% of businesses keep no data backups whatsoever and store information only on their computer's hard drive. The purpose of a backup is to create a copy of your data which can be recovered in the event that the original is disrupted. Backups protect against hardware failure, virus attacks, natural disasters, and human error.
A recent Hiscox report, which surveyed 355 companies in Ireland, showed that 41% of Irish businesses suffered at least one cyber-attack in 2020. The report also revealed that 6.5% of Irish firms paid a ransom following a ransomware attack.
It is essential that you backup your payroll data to protect your business and your employees. Your business can save time and money if any of the above events occur, and you have a copy of your data elsewhere. Discover three ways you can backup your data below.
Investing in cloud storage such as Google Drive or Dropbox allows you to keep your data safe in the cloud. You will need to remember to manually backup your data regularly. With cloud storage, an advantage is that your data has multiple backups within your storage provider’s data centres. This means that if something catastrophic happened to your backup, it is already backed up somewhere else.
A less popular option is backing up your data using a physical storage device or USB key. Your data transfer speeds are typically faster as you don’t require an internet connection. This method can come with its own risks and cost per GB can also be expensive.
If you process payroll in-house, Thesaurus Payroll Manager’s add-on product, Thesaurus Connect, enables users to safely and securely backup their payroll data to the cloud. A chronological history of backups will be maintained which can be restored to your PC at any time. Click here to book a free 15-minute online demo of Thesaurus Connect.
To discover more about Thesaurus Payroll Manager and Thesaurus Connect and how it can improve your payroll services and save you time, schedule a free online demo with a member of our team today. Thesaurus Payroll Manager also offers a 60-day free trial of its payroll software, an ideal way to test out the software to see if it’s the right fit for your business. The free trial version has full functionality with no limitations on any of the features. Thesaurus Connect is not included in the free trial.
COVID-19 has accelerated the move to paperless systems for businesses all over the world. In retail we saw outlets curtailing the use of cash due to fear of spreading the virus; causing payment habits to evolve faster than ever. With more of us working remotely, the office has also seen rapid innovation and it has become crucial that businesses digitalise their paper forms. While some of us may have found the move to digital difficult at first, many of us are now used to it and can easily visualise a future where paper is no longer needed in the workplace. The pros of a paperless workplace far outweigh the cons and it has the ability to revolutionise the way we work.
The move to paperless is nothing new in the world of payroll processing. Going back to a time where payroll was done manually and without the help of software is unimaginable to most payroll processers. However, if you are still using paper anywhere in your workflow, it’s time to make the change.
Thesaurus Connect is a cloud add-on to our payroll software that can help you to digitalise payroll and HR processes, allowing you to cut down on your use of paper and even stop using it altogether. So how can Thesaurus Connect help you achieve this?
Thesaurus Connect digitalises the following tasks:
Surveys have found that the average amount spent by businesses on printing is over €800 per employee. With 30% of print jobs not even being picked up from the printer and 50% of print jobs ending up in the bin within 24 hours, businesses are essentially throwing money away. A document such as a staff handbook can be as long as 100 pages. Say you have 40 employees, that adds up to 4000 pages and a lot of money being spent on paper and ink. Sharing the staff handbook through a cloud portal cuts out this cost altogether.
With Thesaurus Connect, staff have the ability to access important documents through the employee self-service app on their phone. This means they no longer have to store physical documents that can often be lost or get thrown away. It also means that if you would like to update or change any of the information in the document, it is easy to do so. Once the document has been updated, employees will receive a push notification to let them know the newly updated document is ready to be viewed.
Sharing a document online with a few clicks of a mouse is far more convenient than having to print off, sort through and physically distribute reams of paper. It also doesn’t matter where an employee is; in the office, working from home, or even travelling abroad, everyone will have access to the document at the same time.
Paper-based processes are notoriously slow and are more prone to error which can end up taking you hours to correct. One way you can save time with Thesaurus Connect is by digitalising your annual leave management processes. Instead of having employees submit paper forms, the employee can request leave wherever or whenever suits them; be it from their desk or even in their own time through the Thesaurus Connect mobile or tablet app.
Once a request for leave has been made, the relevant manager will receive a notification on their own Thesaurus Connect dashboard. From the dashboard, employers can either approve or deny the leave request. Through your dashboard, you can view a real-time, company-wide calendar where you can see which employees are on leave, when they are on leave and the type of leave, saving you hours of time when dealing with annual leave requests.
Another great benefit of using Thesaurus Connect's online document sharing feature instead of paper is that it allows for accountability. From the employer dashboard, users have the ability to track who has read the documents which have been shared with them and who hasn’t. When it comes to managing annual leave through Thesaurus Connect, you can assign users to manage requests from specific employees. You also will have a record of who has requested leave, when, and who has dealt with the request.
Employee documents, especially payslips, are highly confidential documents which contain sensitive personal information. It is the responsibility of the employer to ensure that the employees' information is kept safe and secure. If you are still sharing paper payslips with employees, you are leaving them at high risk of a data breach. In the Thesaurus Connect mobile app, employees will receive an email and a push notification when their latest payslip becomes available to be viewed or downloaded. From the app, employees can also view and download all historic payslips. Thesaurus Connect uses a design structure that maximises security. Each user will have their own login details and unique password. Thesaurus Connect utilises the Microsoft Azure platform, keeping the employee’s personal information secure.
Technology is always evolving and by not moving from manual paper processes to digital ones, you are at risk of being left behind by the competition. Companies are having to continuously innovate to keep up with customers' expectations and payroll is no different. The digital transformation has changed employees’ expectations. To attract and retain top talent, employers need to replace old manual processes with digital solutions. In a recent employee survey, 91% of employees said they want digital solutions and 88% think that technology is a vital part of the employee experience.
Lastly, the biggest advantage of going paperless is that you are helping to save the environment. By curtailing the use of paper in the workplace not only are you saving trees, but you are also helping to reduce pollution, save water and cut down on the use of fossil fuels which are used to make ink. Turning a single tree into 17 reams of paper releases around 110 lbs of C02 into the atmosphere. It has become the responsibility of businesses to cut down on carbon emissions and going paperless is the first step you can take.
It is becoming increasingly important for businesses to make more environmentally friendly choices. Thesaurus Software recently conducted a survey of our UK customers and over 70% of respondents said that they would like to make more environmentally friendly decisions for their business. From the same survey, 43% said that it was either extremely important or very important for them to choose suppliers who make a conscious effort to reduce the impact they have on the environment.
Why not book a free online demo of Thesaurus Connect today and find out more about its benefits and how it can help your business go paperless.
Are you wondering why you now owe Revenue money as a result of The Temporary Wage Subsidy Scheme (TWSS)?
For the first 6 weeks of the TWSS back in March 2020, during the transitional phase, Revenue refunded a flat rate of €410 per employee per pay period, regardless of the employees' earnings. In a lot of cases this €410 exceeded the subsidy that the employee was entitled to receive, and it was made very clear from the start that there would be a reconciliation to rectify this overpayment.
The scheme was designed to assist employers and employees impacted by COVID-19, and to encourage companies to keep their workers on the payroll. If you didn’t avail of the TWSS then you won’t have a TWSS reconciliation.
On Monday 22nd March 2021, Revenue advised that most employers can now access their TWSS reconciliation balances in Revenue’s Online Service (ROS). The reconciliation balance is based on the actual information provided to Revenue by the employer.
The TWSS reconciliation period opened on 22 March 2021 and employers have until the end of June to review and accept the reconciliation amounts. Revenue are strongly recommending that employers take the time to read & understand the guidance before accepting the reconciliation amounts.
Approximately 40% of the employers that availed of TWSS are balanced. Revenue have said they will not pursue companies that owe a balance of under €500 as they will be considered balanced.
BrightPay hosted a TWSS reconciliation webinar with guest speakers from Revenue on 24th March 2021. During the webinar, we discussed the reconciliation process and had a Questions & Answers session at the end. Watch the webinar on-demand now.
You can also click here to register for our next webinar, which takes place on 21st April 2021
One year after the introduction of the Temporary Wage Subsidy Scheme (TWSS), the Revenue reconciliation process is finally underway. Revenue have now compared the total subsidy amounts paid to employees, against the subsidy amounts paid to the employer. This has allowed Revenue to determine the amount of TWSS owed back to Revenue from employers.
All employers who availed of the TWSS will receive a Statement of Account in their ROS inbox on Monday 22nd March 2021. Employers will have until the end of June to review the detailed information and accept the reconciliation amounts. Once you have accepted the reconciliation calculation, you will either be paid any additional amount due to you by Revenue or be required to repay any amount that you owe to Revenue.
Join Thesaurus Software for a free webinar on Wednesday 24th March at 10.30 am. In this webinar, we will be joined by a guest speaker from Revenue who will discuss what you need to know about the TWSS reconciliation process. Plus, we will demonstrate how to cross-check reconciliation amounts with the payroll software and how payroll automation can help your business during COVID-19.
*** High demand for this webinar. Book your place now to avoid disappointment. ***
If you are unable to attend the webinar at the specified time, simply register and we will send you the recording afterwards.
Lockdown hasn't been easy for any of us - you could say it's been a bit of a 'coronacoaster'. COVID-19 has made us realise what’s important to us. Whether that be connecting more with family or re-connecting with old friends through the social platforms we are so grateful to have during this time. As we are currently in lockdown 3.0, let's look back on some of the key lessons learned as a payroll processor over the past year during this time of crisis.
Payroll is one of the core functions of running any business, and so it is something that needs to be completed on time and without errors. When working from home, your staff might not be able to access all the tools and documents that they would normally be able to access, especially if your systems are on-premises solutions and files and documents are physical hard copies.
Due to COVID-19 and having to work remotely from home, it is now a necessity to be able to access your payroll data from home. Your payroll software should easily facilitate remote working with additional user access. Thesaurus Payroll Manager can be installed on up to 10 PCs per licence key, and this means that payroll processing is possible by up to 10 users, or from 10 different locations. This is very handy for if you have a number of employees working from home, all needing access to the payroll software.
We have also introduced new multi-user features that work in conjunction with Thesaurus Connect, our optional cloud add-on, to improve the working from home experience. These new features include ‘version checking’ when opening an employer, and an ‘other users check’ when opening an employer. This new "working from home" integration gives you all the benefits of the cloud while utilising the power and responsiveness of your local device.
The past year has been very frustrating for payroll processors. Not only had you the added workload of processing subsidy claims, but you also had to learn about the various schemes and ensure you kept up to date with the latest guidelines. That’s why it’s so important to use reliable payroll software from a reliable company.
We kept Thesaurus Payroll Manager up to date to cater for the relevant scheme changes, and we tried to automate as much as possible in the payroll software to make your life easier.
In a recent survey, we achieved a 98.7% rating for our overall handling of COVID-19 including customer support, payroll upgrades, COVID-19 webinars and online support. We also won a COVID-19 Hero Award, and this is because of our response to COVID-19 and how we have helped our customers throughout the past few months.
As most businesses are now working remotely for the foreseeable future, it leaves many businesses exposed to data loss. This is why cloud backups are so important.
If you only keep your payroll data on your desktop, you are at risk of losing the information. Have you thought about what would happen if your computer broke down or was hacked? How would you get your payroll data back quickly? Would employees still get paid if the information was lost?
Thesaurus Connect is our optional add-on that works alongside the payroll software. Thesaurus Connect provides a secure and user-friendly way to backup and restore your payroll data on your PC to and from the cloud. It’s simply an added layer of data protection to keep your payroll data safe so you never lose your payroll data again.
Whether you’re an employer processing payroll in-house for your business, or an accountant or bureau processing payroll for a number of clients, automation is key. How much time do you spend managing annual leave, answering employee leave balance enquiries, retrieving lost payslips, and communicating with employees in general? Now is the time to eliminate those admin-heavy tasks!
Self-service online portals are changing the way businesses interact and communicate with their employees, whilst providing the cloud functionality to get things done smarter and faster. Thesaurus Connect includes the ability to manage employee leave, communicate with employees, automate payslip distribution, run payroll reports and much more.
Book a demo of Thesaurus Connect today to discover more features that can help you streamline your payroll and HR processes.
More than ever, accountants are under pressure to diversify their service offering as the profits from doing compliance increasingly diminish. To the profession’s immense credit, firms have embraced new ways of working to not only stay afloat but thrive.
But with more competition, it’s become hard to stand out. Offering payroll services has become an overlooked way to set yourself apart. Perhaps understandably: in the past, payroll processing wasn’t a particularly dynamic, easy or, most importantly, profitable service to offer.
Things have changed, however, with the advent of new software that has made offering payroll services more profitable, simpler and innovative.
Thesaurus Connect is a cloud add-on that seamlessly slots into Thesaurus Payroll Manager on your desktop. The payroll is still processed on the Thesaurus Payroll Manager desktop application, but the payroll information is stored online on a secure cloud server. By introducing the cloud into your payroll services, you can demonstrate value and power up what you offer to clients.
Here are four ways you can introduce a cloud system with payroll access like Thesaurus Connect to clients:
There’s so much complication in our modern economy. Businesses and individuals are assaulted on all sides by different technologies and demands for their attention and time.
But it’s important to remember that the right tech can also radically simplify peoples’ lives too. Thesaurus Connect, with its suite of HR-centred features, will make payroll processing simple and collaborative.
By empowering your clients via the cloud add-on, you’ll lessen the admin burden on yourself, leaving you to focus on getting the details right. For your client (and their employees), Thesaurus Connect will give them control over their leave and payroll data.
Things can – and should – be much simpler. And with Thesaurus Connect, that’s the new reality of payroll processing. Book a demo of Thesaurus Connect today.
We have teamed up with Revenue to bring you a free webinar where we discuss everything you need to know about TWSS reconciliation and the Employment Wage Subsidy Scheme (EWSS).
10.30am | 19th November
The Employment Wage Subsidy Scheme (EWSS) gives employers impacted by COVID-19 a subsidy payable per employee to help keep them in employment. This scheme has replaced the Temporary Wage Subsidy Scheme (TWSS) from 1 September 2020 and will run until 31 March 2021.
What you’ll learn:
Hear from Payroll Experts
From the Revenue Commissioners:
Even if you can’t make it, register now and we’ll send you a recording.