The payroll record is the main record within the payroll system. The uniqueness of each record is controlled by the 6 digit employee number.
The employee number will probably commence from number 000001 but this is not mandatory.
Payroll records can be accessed in Creation, Amendment or Display modes depending on your payroll priority - priority 2 is required to display a payroll record and priority 3 to amend or create a payroll record.
Unless an amendment is required, access to payroll records should always be made in Display mode.
Standard functionality exists that allows you to create and maintain records.
To access Add/modify payroll records
The Payroll Password form is displayed.
Enter your payroll password.
The PAYROLL menu is displayed.
Select Add/modify payroll records option.
The Payroll Records form is displayed.
The Payroll Records form is displayed when you select the Add/modify payroll records option from the PAYROLL menu.
The payroll record consists of 14 different TABs.
What do you want to do?
If you are creating a payroll record first ensure you have created the employee record and then click the Create button otherwise to amend an existing payroll record enter the employee number and then click the Amend button.
Tip : In order to highlight what fields need to be set up on record creation or a mid tax year payroll each TAB begins with some statements or questions which may be used to guide you as to whether or not you should set up the fields. Each field is then listed using one of the three following conventions:-
Field: This is an important field that should always be reviewed for set up.
Field(M): This field is important for set up only when creating existing payroll records for a mid tax year conversion onto the KPay system but not for new joining employees.
Field(*): This field is either less critical or concerns a more complex payroll set up and therefore may be avoided if a quick payroll set up is required.
Employee number: The individual number allocated to each employee. The employee number is the unique field for each payroll record and therefore every payroll record must have an employee number.
Tip :
Click the Ellipsis button ![[...]](Ellipsis.gif){kind=small}
to search for an employee number from the employee records file by either a surname search or a word search. The search will only list those employees that have been created for your current payroll company who do not yet have a payroll record and have not had their leaving date set and you have the correct security within the employee record module to access the employee. This location security based on the location and grade fields on the employee record is optional and used throughout the payroll module.
If the payroll type parameter called Block edit of own record is ticked it is not possible to select your own record as identified by the Employee record containing your user id in the User ID field. If you enter your own payroll record number and attempt to amend the record the error message You are not permitted to edit your own payroll record is shown.
If you attempt to access a payroll record for whom you do not have the correct employee record location security you will be advised with the message Permission to access payroll record denied. Employee record location security is used throughout the payroll module.
Archive: If the tax year end archiving option is used as defined by the payroll type parameter called Archive at year endand an archive is present for the employee number entered then either the Current tax year record can be chosen as a default or the payroll record as seen at the end of a previous tax year can be accessed.
Tip :
Click on the Drop down 
to select either the current year or a previous archive year.
Employee Record Tab
The Employee details form is displayed when you select the Employee details Tab from the Payroll Records form.
The Employee details Tab is used to view the employee record as maintained within the employee records module or via the Full employee edit option. Most of these fields are self explanatory.
Your employee record password priority is used to determine if you have access to see each field within the employee record. A priority 1 user will thus not see the following list of fields:-
- User id.
- Address.
- Home telephone number.
- Postcode.
- National Insurance Number.
- Date of Birth.
- Start date.
- Leaving date.
- Home telephone number.
- Mobile phone number.
- Picture file name.
An employee records priority 2 user will also not see the National Insurance number field.
Employee number: The individual number allocated to each employee.
Company identifier: The payroll company the selected employee works for.
User id: The user id of the employee on the main accounting system.
Surname: The Surname of the selected employee. e.g Hunt.
Title: The Title of the selected employee. e.g Mr.
Initials: The initials of the selected employee. e.g M.
Forenames: The first name(s) of the selected employee. e.g Michael.
Informal name: The name that the employee likes to be called. e.g Mike.
Address: The Address that the employee lives at.
Postcode: The Postcode of the address where the employee lives.
Cost centre: The cost centre that the employee is attached to.
Cost centre split: The cost centre split table code.
Suffix: The suffix that is attached to the employee.
Clock code: The clock code of the selected employee
Gender: Male or Female radio buttons, depending on the gender.
National insurance number: The National Insurance number of the employee.
Date of birth: The date of birth for the employee.
Start date: The starting date for the employee.
Leaving date: The leaving date for the employee.
Office phone/extension no: The office phone number and any extension number for the employee.
Home telephone no: The home telephone number of the employee.
Mobile phone no: The mobile phone number of the employee. (if applicable)
Email address: The Email address of the employee.
Payroll type: The payroll type of the employee. Normally 'W' for Weekly or 'M' for Monthly.
Photograph file name: The file name of the photograph of the employee.
Photograph: A picture of the employee.
Clock code: An alternative reference number for the employee.
Location: Three character location code if location security is used.
Security grade: Two character grade used for security.
What do you want to do?
Static 1 Tab
The Static 1 form is displayed when you select the Static 1 Tab from the Payroll Record form.
The Static 1 TAB is by far the most important, most fields have to be completed:-
Left: This field refers to the 'Enter leaving date' option on the main Payroll menu. It will be set to one of the following:
N: No the employee has not left the company.
Y: Yes the employee has left the company this tax year.
P: The employee left the company the previous tax year.
Suspended(*): The suspended field controls the type of processing of the employee in the payroll. It will be set to one of the following:-
N: No the employee is not suspended and will be processed as normal.
Y: Yes the employee is suspended and will be ignored in the payroll - no payslip or postings are produced.
T: The employee is in a trade dispute and will not receive any tax rebates due.
Trade(*): The type of employee for analysis. The trade is not used to generate any nominal ledger postings but may be used to detect a gross pay figure below a minimum warning level or above a maximum warning level or to exclude the employee from a National Minimum Wage check.
Tip: Click the Ellipsis button
NL Grade: The Nominal Ledger expense codes to which the selected employee's costs are to be posted are contained within a grade table.
Tip: Click the Ellipsis button
Balance sheet cost centre: The selected employee's Balance sheet cost centre.
Tip: Click the Ellipsis button
Weekly N. I basis: Ticked if the employee is to receive a payment on a non weekly payroll but treated on a weekly NI basis, this is typically used for an irregular payment to an employee after the employee has left.
National Insurance code: The National Insurance code for the selected employee.
Tip: Click the Ellipsis button
Scottish tax payer: Ticked if the employee is to be treated as a Scottish tax payer - their tax code includes the letter S.
Tax code: The numeric part of the tax code for the selected employee between 0 and 999999. For example, 489
Tax prefix/suffix: This is the one/two character prefix/suffix for the selected employee's tax code. For example, H, L,P,V,T or BR as the suffix,or K, D or NT (No Tax) as the suffix.
Week/month 1 basis: Ticked if the employee is to have tax calculated under this basis.
NT Tax refund: Ticked if the employee is using the NT tax code and HM Revenue & Customs has authorised the refunding of tax paid earlier in the current year.
Payslip sort code(*): This is a user defined key. Payslips, cheques and Giros can be printed by Employee number or in any other sequence defined by this code. For the example, the fist four characters may be the cost centre and the last four characters the beginning of the surname, payslips may then be produced in surname order within each cost centre.
Standard hours per week: The total standard number of hours to be worked by the selected employee for one working week.
Tip: This field must have a value in it even for monthly paid employees. This is because an hourly rate needs to be determined for overtime for the selected employee.
Standard hours per period(*): This value is determined by the number of standard hours per week entered for this selected employee.
Annual salary: The annual salary for the selected employee. The Basic period pay is calculated from this entry and rounded back to reflect the true annual salary. If the payroll type parameter called Use contractual salary is ticked the salary figure is not adjusted afterwards, for example, if on a monthly payroll the salary is entered as 14000.00 it remains as 14000 when contractual salary is to be used or is otherwise adjusted to 14000.04 if contractual salary is not used.
Salary change date: The date the salary was last changed. This field will be updated if the payroll type parameter called Data import from HR is ticked and the Data import from HR utility is run with a different salary loaded.
Basic period pay: The basic weekly pay for weekly paid employees or the basic monthly pay for monthly paid employees. Hourly paid employees also require an entry in this field.
Costing rate/hour(*): This field is either used for reporting purposes or the Costing rate per hour rates table method.
Director: Ticked if the employee is a director for the company and to be treated under the cumulative calculation director NI scheme.
Weeks @ director: The number of weeks remaining in the current tax year for the selected director to be paid.
Note: This field is only active if the Director check box has been set to a tick.
Incentive scheme(*): Ticked if the employee is being paid using the incentive scheme mechanism.
Note: The incentive scheme mechanism is a very specialised scheme and is not set up as a part of the standard installation of the payroll package.
Rate(*): The hourly rate of pay used when paying the selected employee when they have reached the minimum percentage efficiency level defined within the incentive scheme.
Note: This field is only active if the Incentive scheme check box has been set to a tick.
Class 1A NICs(*): This field is no longer directly used - it was previously used for storing the class 1A NIC figure to be printed on year end reports such as P60's and is currently being kept for compatibility with payroll archives only.
N.I. employee adjustment(*): The sum of any N.I. employee adjustment.
Note: This field is system generated as a result of running the utility option called NI adjustment.
N.I. employer adjustment(*): The sum of any N.I. employer adjustment.
Note: This field is system generated as a result of running the utility option called NI adjustment.
N.I. rebate adjustment LEL-EET(*): The sum of any N.I employee rebate.
Note: This field is system generated as a result of running the utility option called NI adjustment.
N.I. rebate adjustment LEL-ERT(*): The sum of any N.I employer rebate.
Note: This field is system generated as a result of running the utility option called NI adjustment.
Undergoing accredited training: Ticked if the employee is undergoing accredited training for the purposes of the National Minimum Wage regulations.
Pre-sacrifice salary(*): The original salary of an employee prior to receiving a benefit package. This field is updated from the Human Resources module whenever the Salary field is also updated when using the utility called Data import from HR. The data import from HR utility is only available on the payroll miscellaneous options, utility options menu if the payroll type parameter called Data import from HR is ticked. The field may alternatively be used as a spare reference field. It is not used on any calculations by the payroll package itself.
P45 Details
HM Revenue and Customs notified: This check box is set to a tick to serve three functions as follows:-
1: If the employee joins without a P45 or if you have returned a P45 for this employee to HM Revenue & Customs reporting a tax discrepancy it reminds you of the return being made.
2: It forces the system not to calculate the P45 Calculated tax field, in normal circumstances the Calculated tax field is only calculated when it is a zero value however if the employee has a genuine calculated tax of zero and subsequently changes tax code a spurious calculated tax figure may be calculated incorrectly.
3: It stops the calculate option printing a warning for the remainder of the tax year that there is a discrepancy between the P45 tax and the P45 Calculated tax fields.
Note: It is very important that you do not tick this field when it should not be ticked otherwise the Calculated tax figure may not be calculated and a zero tax figure may be incorrectly used on brought forward tax calculations.
Period type: Whether the joining employee was previously paid weekly or monthly. If the employee does not have a P45 yet or has a Week 1/ Month 1 P45 then the current pay type may be used.
Last period: The last period recorded on the P45 of the joining employee. Alternatively, if no P45 exists or the P45 shows the employee was taxed on a Week 1/ Month 1 basis the field may show the current pay period.
Gross pay: The joining employee's gross pay for tax purposes from his or her previous employment.
Tax: The joining employee's gross tax from his or her previous employment.
Calculated tax: If the joining employee has a P45 then this field should be left as 0. Only if the employee is being paid on a Week 1 / Month 1 basis will a figure be entered in which case enter the same figure as the Tax field.
Note: When an employee joins their tax code should be entered on the payroll record the same as that seen on the P45 and once the P45 details have been entered, use the calculate pay option to check the tax. If you have been advised of a change to the employee's tax code change it following the initial calculation and re-calculate the payroll for the employee.
What do you want to do?
Static 2 Tab
The Static 2 form is displayed when you select the Static 2 TAB from the Payroll Record form.
The Static 2 TAB is rarely need to be accessed when creating payroll records.
Some questions to ask yourself when considering if it is necessary to complete fields on the Static 2 TAB
Has the employee provided you with a SSP1.L certificate detailing sickness when working for a previous employer, if yes which is unlikely, you may complete the 2 dates fields (start date and end date) of last sickness with the previous employer and the length of sickness, this may reduce your own company liability.
Is there any unusual SSP condition such as excluded, transferred to DSS for sick benefit or a different workday pattern? If yes, complete the Exclusion code, Transfer code or Qualifying days fields as required.
Are you paying any form of average pay? - if yes, enter the number of periods to average if different to the default.
Are you planning to log holiday accrual for the employee? - this is often done for service productives, if this is the case, enter the Pay accrual, Hours accrual or Days accrual as required, if NL postings for accruals are being made then the Pay accrual must be entered. Click here for holiday accrual setup advice
Are any employees currently on holiday having received advanced holiday pay? If so enter Holiday periods as the number of periods advanced and Holiday counter as the current number of periods taken up to a maximum of Holiday periods. An employee paid 2 advanced holiday weeks and currently on the first period absent from the payroll will have Holiday periods entered as 2 and Holiday counter entered as 1. Statutory sick pay details (SSP)
Sickness adjustment(*): Sickness adjustment concerns the automated update of the rates table as a result of entering sickness details or entering lines on the rates table, this is an advanced set up area not covered on basic installations. This field is only available to edit if the payroll type parameter called Sickness adjustment is set to Individual payroll records control the update. It may be set to one of the following:-
Y: Yes rates always updated - this is via the rates table and by use of the Enter sickness details option.
N: Nothing is updated.
R: Rates only updated via input pay.
S: Sickness entry updates rates.
Tip : Click on the Drop down
Direct manager(*): The eight character user id of the direct manager for the employee. This is used either for reference purposes or used to generate an Email message when one of up to five Email rules on sickness logging has been triggered, for example, the employee has been absent for more than 10 days in the tax year. These rules are defined on the SSP TAB of the Payroll type parameters.
Tip : Click the Ellipsis button
Senior manager(*): The eight character user id of the senior manager for the employee, this is similar to the direct manager field explained above.
Tip : Click the Ellipsis button
Exclusion code(*): If the employee is excluded from the SSP scheme then the code entered here will show why. Otherwise this field will remain blank.
Transfer code(*) The code to transfer the employee out of the SSP scheme when their SSP weeks liability has been exhausted otherwise this field will remain blank. The system will automatically set this field to Transferred once it detects the SSP liability has been reached when selecting a new payroll period.
Start of sickness (SSP1.L)(*): This date represents the start of sickness for a new employee with a leaver's statement of SSP from their previous employer.
Last day of sickness (SSP1.L)(*): This date represents the last day of sickness for a new employee with a leaver's statement of SSP from their previous employer.
Weeks already paid (SSP1.L)(*): The number of weeks statutory sick pay paid to a joining employee in their previous employment.
Qualifying days(*): A seven character mask in which the letter Q represent qualifying days for SSP. The first position in the mask is S which represents Sunday.
Miscellaneous fields
P38S to be completed(*): Tick this field if the employee is a student and the employee has completed a P38S form exempting the employee from Pay As You Earn for the current tax year. This field will be reset to a blank as a part of the payroll year end.
Note: This field is only active if the Tax code field on the Static 1 TAB is set to NT
Educational establishment(*): A three character code for the educational establishment attended by the student who has completed the P38S for the current tax year. This may be used for payroll year end reporting.
Note: This field is only active if the P38S to be completed field is ticked.
Tip : Click the Ellipsis button
Report filter(*): Eight report filter tick boxes which may be used for inclusion or exclusion selection rules within the report generator or adhoc enquiry reporting, for example, filter 1 being ticked may mean the payslip is to be posted home.
Holiday details
Periods to average(*): The number of periods over which to calculate average pay for holiday in the range 1-13.
Pay accrual(*): If an accrual for holiday is to be generated and may be posted to the nominal ledger this field needs to hold the value to be accrued each payroll period.
Hours accrual(*): If an accrual for holiday in terms of hours is to be generated this field needs to hold the number of hours to be accrued each payroll period.
Days accrual(*): If an accrual for holiday in terms of days is to be generated this field needs to hold the number of days to be accrued each payroll period.
Current holiday Periods(*): The number of pay periods that a holiday is to last as entered originally using the Input pay details option.
Current holiday Counter(*): The number of pay periods that a holiday has lasted. This field is system maintained whenever the Select new period option is used.
Completion of payroll period
Pay calculated: This check box is set to a tick if the Pay has been calculated for this employee.
Payslip printed: This check box is set to a tick if the Payslip has been printed for this employee.
Cheque printed: This check box is set to a tick if a cheque has been printed for this employee.
Giro printed: This check box is set to a tick if a Giro has been printed for this employee.
Static 3 Tab
The Static 3 form is displayed when you select the Static 3 TAB from the Payroll Record form.
When creating a payroll record you do not normally need to use the Static 3 TAB since maternity details are logged using the Enter maternity details option, paternity details using the Enter paternity details option and adoption details using the Enter adoption details option.
A question to ask yourself when considering if it is necessary to complete any of the fields on the Static 3 TAB
Are you planning to use the advanced systems that allow for individual employee control for maternity, paternity or adoption pay automatically adjusting the rates table when the employee receives maternity, paternity or adoption pay? Statutory maternity pay details (SMP)
Maternity adjustment(*): Maternity adjustment concerns the automated update of the rates table as a result of entering maternity details or entering lines on the rates table, this is an advanced set up area not covered on basic installations. This field is only available to edit if the payroll type parameter called Maternity adjustment is set to Individual payroll records control the update. It may be set to one of the following:-
Y: Yes rates always updated - this is via the rates table and by use of the Enter maternity details option.
N: Nothing is updated.
R: Rates only updated via input pay.
M: Maternity entry updates rates.
Tip : Click on the Drop down
Childbirth EWC date(*): The start of the week date of the EWC (Expected Week of Childbirth) for this employee, as per the form MATB1.
MPP start date(*): The date the Maternity Pay Period starts.
Average pay(*): The average pay used for calculating the higher rate SMP. This field only has a value if the employee is a female.
Period pay(*): The total SMP paid for the current period. This field only has a value if the employee is a female.
Standard pay(*): The part of the SMP period pay that is paid at the standard rate.
Weeks left(*): The number of weeks SMP that are remaining for this employee.
Weeks at higher rate(*): The number of weeks SMP that this employee is entitled to receive at a higher rate.
Weeks this period(*): The number of weeks SMP paid this payroll period, this figure will default to the number of full weeks ending on a Saturday that may be fitted into the payroll period but may be adjusted by the user.
Statutory paternity pay details (SPP)
Paternity adjustment(*): Paternity adjustment concerns the automated update of the rates table as a result of entering paternity details or entering lines on the rates table, this is an advanced set up area not covered on basic installations. This field is only available to edit if the payroll type parameter called Paternity adjustment is set to Individual payroll records control the update. It may be set to one of the following:-
Y: Yes rates always updated - this is via the rates table and by use of the Enter paternity details option.
N: Nothing is updated.
R: Rates only updated via input pay.
P: Paternity entry updates rates.
Tip : Click on the Drop down
Matching week date(*): The start of the week date of the adoption match when paternity pay is paid to one of the people adopting a child but not receiving Statutory Adoption Pay (SAP).
EWC/Placement date(*): The start of the week date of the EWC (Expected Week of Childbirth) for this employee or for adoption cases when the child was placed with the employee.
Start date(*): The date the Paternity Pay Period starts.
Average pay(*): The average pay used for calculating the SPP.
Period pay(*): The total SPP paid for the current period.
Weeks left(*): The number of weeks SPP that are remaining for this employee.
Weeks this period(*): The number of weeks SPP paid this payroll period, this figure will default to the number of full weeks ending on a Saturday that may be fitted into the payroll period but may be adjusted by the user.
Statutory adoption pay details (SAP)
Adoption adjustment(*): Adoption adjustment concerns the automated update of the rates table as a result of entering adoption details or entering lines on the rates table, this is an advanced set up area not covered on basic installations. This field is only available to edit if the payroll type parameter called Adoption adjustment is set to Individual payroll records control the update. It may be set to one of the following:-
Y: Yes rates always updated - this is via the rates table and by use of the Enter paternity details option.
N: Nothing is updated.
R: Rates only updated via input pay.
A: Adoption entry updates rates.
Tip : Click on the Drop down
Matching week date(*): The start of the week date of the adoption match.
Placement date(*): The start of the week date of when the child was placed with the employee.
Start date(*): The date the Adoption Pay Period starts.
Average pay(*): The average pay used for calculating the SAP.
Period pay(*): The total SAP paid for the current period.
Weeks left(*): The number of weeks SAP that are remaining for this employee.
Weeks this period(*): The number of weeks SAP paid this payroll period, this figure will default to the number of full weeks ending on a Saturday that may be fitted into the payroll period but may be adjusted by the user.
What do you want to do?
Payments tab
The Payment form is displayed when you select the Payments TAB from the Payroll Record form.
When creating a payroll record something usually has to be entered here but it depends on the payment method being used - payment methods may be varied from employee to employee.
Method: The valid method of payment. This could be Cash, Giro (credit transfer), Autopay, Cheques, BACS transmitted using the BACS Submission module for transmission or export to a 3rd party package or BACS ascii for preparing an export report to a 3rd party system. Note that by using the BACS Submission module even if only used for exporting to 3rd party products it allows for greater use of BACS within the payroll system, for example, court order and addition/deduction payments.
Users of non automated BACS systems may set the records up to use payment method AUT and enter a reference number, the reference is mandatory, if not known, set to the same as the employee number.
Tip : Click the Ellipsis button
Bank/BS sort code The sort code of the employee's bank or building society, used with pay methods giro and BACS. Optional with other payment methods.
Note: If the sort code entered begins with a number zero the leading zero will not be shown on the record once another field is selected but the full sort code with the zero will be used for BACS transmissions.
Bank account number: The employee's bank account code; only entered if Pay Methods giro and BACS are used. Optional with other payment methods. The bank account code should always be entered as a regular eight digit bank account number padded left with zero digits if necessary.
Bank account type: Normally this is zero but this needs to checked with the financial organisation used by the employee. This is required for BACS payments.
Bank name and branch(*): The bank name and branch. Optional if the pay Method is giro, BACS or Autopay.Bank town and county(*): The name of the town and county of the bank. Optional if the pay Method is giro, BACS or Autopay.
Building society(*): The name of Building Society if money is to a building society account rather than a bank.
Society roll number: The employee's Building Society account number if payment is made to that account. Note that this is used for non current type accounts where the funds are first past to a bank account belonging to the building society.
Net pay to BACS(*): The amount of net pay transferred to the BACS Submission module for transmission to BACS during the current payroll period. This amount allows for two or more payment runs to be processed for the employee by BACS within a single payroll period. If money has been transferred to the BACS Submission module using the Miscellaneous options menu option called Transfer BACS buffer to BACS but the money is not being transmitted to BACS due to an error it may be necessary to reset this field to zero using the Miscellaneous options menu, Utilities menu option called Zero off BACS transfer amounts.
Autopay reference: The Autopay reference number for the selected employee if the Autopay method is being used.
Payment category(*): A one character payment category if BACS is being used and payments are to be generated into their own BACS batch.
Tip : Click the Ellipsis button
Savings details
It is possible to divert some of the employee's pay to a savings account or any other account of their choice.
When creating payroll records ask yourself the following question.
Are Savings through payroll being used? If they are complete the lower section of the payments screen. Savings are calculated prior to NI rebates and roundings. The savings details are similar to the payment details with the exception of the following fields:-
Minimum earnings(*): This is the threshold below which no savings will be deducted.
Savings type(*): This is the type of savings. Choose from one of the following options:-
V: Value
P: Percentage of net pay
Amount per period(*): This is the amount or % of net for savings to be deducted each pay period and will be adjusted automatically so as not to take the net pay below the minimum earnings.
What do you want to do?
Pension tab
The Pension form is displayed when you select the Pension TAB from the Payroll Record form.
When creating a payroll record it is quite likely you will need to enter the Pension TAB.
Does the employee have a pension payment either by the employee or employer? If not skip this TAB otherwise enter the TAB. Pension scheme(*): This field contains the two-character code for the main pension scheme; the various codes are used to produce pension reports for each scheme. Not used for any special calculations.
Membership number(*): The employee's pension scheme membership number.
Contracting out number (SCON): If the employee is contracted out and has a SCON number it may be entered for reporting on the payroll employee details report. Employees with a Contacted Out Money Purchase (COMP) scheme using NI codes F, G or S should enter their SCON number for printing on the P14/P60 year end stationery. The SCON number starts with a letter, typically S, followed by 8 digits and then a letter. Employees with an Appropriate Personal Pension may have a SCON number starting with the letter A.
Note: There are also SCON number fields on the National Insurance history tab. Whenever an employee changes their NI code or NI director status the NI information if present is shuffled down into the National Insurance history together with the SCON number found on the Pension tab. The Pension tab occurrence remains in place.
Approved personal pension: This check box is set to a tick only when directors are on NI code A and in an Appropriate Personal Pension scheme.
Note: If a director changes NI code then this check box will not be changed until the start of the following year.
Pension tax relief: This check box is set to a tick if the employee gains tax relief on their pension contributions at the point of calculating payroll. Otherwise it is left blank.
A.V.C scheme(*): A two character scheme code used only for reporting purposes.
Pension joining date(*): The date the employee is due to or joined the pension scheme.
Fixed salary: The value of the employees period salary to be used by deduction type 'A' or 'F' or Benefits or Additions/Deductions.
Override special pension(*): This field is only shown if the payroll General-1 TAB system parameter called Special pensionsis ticked. A part of the special or advanced pension calculations allows for the percentage age related calculations to be replaced by using the input pay details option to enter values for pension deduction and benefit records when the Override special pension field is ticked by a priority 8 user. This field is reset to a blank when a new payroll period is selected.
Employer Deduction type: The Employer pension deduction type.
A: The percentage of fixed salary based on previous tax year gross pay for pension.
F: The percentage of fixed salary.
G: The percentage of Gross pay for pension.
M: The percentage of gross pay for pension is sub-divided into lower, middle and upper National Insurance bands with varying percentages
V: The fixed value contributions.
Z: The percentage of a derived figure, the derived figure is the greater of two figures (1) and (2) where (1) is defined as the gross pay for pension minus an amount such as the weekly old age pension adjusted for the payroll period as defined by the payroll system parameter called Pension 'Z' method value and (2) is defined as the gross pay for pension multiplied by the payroll type parameter called 'Z' method percent.
B: The pension contribution is reduced by the basic rate of Pay As You Earn (PAYE).
Employer Reduce gross: Amount to be deducted per pay period from the gross pay for pension or fixed pension gross value before calculating the employer pension.
Employer Contribution: The Employer value of money or percentage to be deducted per period.
Employer Lower %: Percentage deduction figures for earnings within the lower earnings National Insurance band - this is only used by the M pension method.
Employer Middle %: Percentage deduction figures for earnings within the middle earnings National Insurance band - this is only used by the M pension method.
Employer Upper %: Percentage deduction figures for earnings within the upper earnings National Insurance band - this is only used by the M pension method.
Employee Deduction type: The pension deduction type used for the employee calculation - see the employer section for the available types.
Employee Reduce gross: Amount to be deducted per pay period from the gross pay for pension or fixed pension gross value before calculating the employee pension.
Employee Contribution: The Employee value of money or percentage to be deducted per period.
Employee Lower %: Percentage deduction figures for earnings within the lower earnings National Insurance band - this is only used by the M pension method.
Employee Middle %: Percentage deduction figures for earnings within the middle earnings National Insurance band - this is only used by the M pension method.
Employee Upper %: Percentage deduction figures for earnings within the upper earnings National Insurance band - this is only used by the M pension method.
NL employer: The Nominal Ledger Profit & Loss expense code to be charged with employer's pension contributions.
NL control: The Nominal Ledger Balance Sheet code for controlling payments to the pension fund.
Deduct if absent: If the employee clocks no basic hours in the pay period then the pension value amount will be accrued in roundings and taken in following periods if this field is ticked.
Contracted Out Money Purchase scheme (COMP)
Employer contribution %: The employer percentage contribution by the employer to the Contracted Out Money Purchase scheme.
Employee contribution %: The employee percentage contribution to the Contracted Out Money Purchase scheme.
NL employer account: The Nominal Ledger Profit & Loss expense code to be charged with employer's COMP pension contributions.
NL control account: The Nominal Ledger Balance Sheet code for controlling payments to pension fund
Tax relief: A Contracted Out Money Purchase scheme must be authorised for tax relief. if this is the case, the check box should be ticked.
What do you want to do?
Rates Tab
The Rates form is displayed when you select the Rates TAB from the Payroll Record form.
When creating a payroll record it is unlikely you will need to enter the Rates TAB.
Are A - Absolute payment methods used or are factors of pay type S - Specific to employees? If you answer yes to either of these two questions you may need to enter the Rates TAB otherwise you should proceed to the next TAB. The rates TAB shows the rates of payment table available for the current payroll type. See the Miscellaneous options menu option called Rates table for full details. The main payroll menu option called Input pay details is used to enter details of hours and SSP days if applicable. If the Type column (Factor type) is set to S for specific to each employee then a factor can either be entered within the Add/modify payroll record option or within the Input Pay Details option.
No.: The number up to a maximum of 20 of the type of rates of payment available.
Description: The 16 character description of the type of rate.
Meth.: The calculations to be performed depend on the method which can be one of the following:
S: Salaried - The employee will be paid his or her basic period pay irrespective of the number of hours worked. Period value is set to the 'Basic period pay' for this employee, and the 'Hours' set to the 'Std hours per period'. Factor is not used.
B: Percentage of Basic - the most common payment method, Rate=Factor * Basic rate / 100. Value=Rate * Hours
G: Percentage of Gross - Value=Gross pay for period so far calculated within the rates table * Factor/100
A: Absolute rate - The Factor represents an hourly rate to be used. Value=Factor * Hours
V: Average rate - This is normally only used for holiday pay. The average rate is derived from the 'Holiday earnings history'. The 'Periods to average' from the payroll record is used to determine the number of periods history to use when calculating the average period pay. If a factor other than 0 is found in the rates table then the rate to be used is the biggest of: Average rate = average period pay / basic hours per period. Adjusted basic rate = basic rate * factor / 100. Value = Hours * (Average rate or Adjusted basic rate).
P: Period pay - Any figure entered in the Factor column will be divided by the employees standard hours per period to arrive at an hourly rate for this payment. Rate=(Factor) / (Std hours per period). Value=Rate * Hours
T: Timesheets - Job costing systems should supply both hours and value, so there is no calculation, the value is accepted as it is and processed normally.
Analysis: This determines how the hours for this rate are to be analysed on reports, and looks up the Grade table for Nominal Ledger analysis of values if the next parameter is set to 'G'. The options are as follows:-
B: Basic.
O: Overtime.
X: Extra payments such as sick pay.
H: Holiday.
1: Further analysis category 1.
2: Further analysis category 2.
3: Further analysis category 3.
4: Further analysis category 4.
Note: The H - Holiday analysis category must always be used for advanced holiday period payments. The further analysis categories 1, 2, 3 and 4 may have their titles defined within the Payroll System maintenance option called System parameters.
SSP: This check box is set to a tick if Statutory Sick Pay is replaced on a pound for pound basis by the pay from the rate line, for example, for the payment of company sick pay.
SMP: This check box is set to a tick if Statutory Maternity, Paternity and Adoption Pay is replaced on a pound for pound basis by the pay from the rate line, for example, for the payment of company maternity pay.
Type: The type of payment determines where the factor is read from:-
F: Fixed - the central payment rates table is used within the Miscellaneous options menu option called Rates table.
S: Specific - the payroll record is used.
Keep: This determines whether the system retains the hours in the rates field at the start of a new period. The options are as follows:-
Y: Yes - keep the hours at the start of a new period.
N: No - set the hours to zero at the start of a new period.
D: Default - the hours on this rate are defaulted to the employees Standard hours per period.
Units: When this check box is set to a tick the units on the selected rate will appear on the employee's payslip provided there are some units recorded.
Factor: Set to the value of the rates table for the relevant line on each employee's record unless the factor Type is S - specific when it can be defined individually for each employee.
Hours/Units: This is where the hours or units of pay for this rate line are entered for each payroll period, normally the values are entered using the main payroll menu option called Input pay details.
SSP: The SSP number column is only available if the SSP tick column is ticked, this allows for cases where only a certain number of SSP days are to be replaced by the hours on the rates line, in most cases when SSP generated is being replaced by a company sick payment the total amount of SSP days is replaced and this column may be left as zero.
This period: The period amount is calculated once the hours/units are entered using the Input pay details option.
Y-T-D B/Fwd:: The accumulator value for this rate, this may be cleared down at points defined on the rates table itself as follows:-
P: Payroll year end - the normal setting.
C: Customised period as defined within the payroll type parameters, for example, a calendar or financial year end may be defined.
N: Never - the accumulator will keep on growing in value.
What do you want to do?
The Additions/Deductions TAB
The Additions/Deductions form is displayed when you select the Additions/Deductions TAB from the Payroll Record form.
Either the detail for the codes are attached on payroll record creation which involves usually adding the code and setting the status to Active or attached to the payroll record when using the Input pay details option for the first time with the employee.
A decision on set up needs to be made on the merits of having very heavily used codes added to the payroll default record as this at least ensures the codes are in a consistent place for each employee. If this is required use the System maintenance menu option called Payroll record defaults.
Unless a code has a value it will not shown on the payslip.
The addition/deduction records themselves are set up as a company data file shared between all payroll types within a payroll company, this is achieved using the within the Miscellaneous options menu option called Additions/Deductions. Up to 20 addition/deduction codes from the payroll company database may then be attached onto each payroll record.
No.: Each addition/deduction has an entry number associated with it ranging from 1 to 20. Within the Add/modify payroll record option the next free addition/deduction row number will automatically be updated, within the Input pay details option you may choose the addition / deduction row number when an addition/deduction code is added to the payroll record.
Code: The four character additions and deductions code. Codes can be added by clicking the New row button and clicking in the code field. A code cannot be deleted in a year once it has a 'Y-T-D B/Fwd' balance or an Outstanding value.
Tip : Click the Ellipsis button
Description: The 16 character description of the addition/deduction.
S: The status from one of the following:-
A: Active - this means any value entered will be included in the next calculation run provided the employee is included in the payroll run and not on advanced holiday - this is the normal setting.
S: Suspended - any value entered is temporarily stopped from being included in the payroll run.
D: Deletion - the addition/deduction code is to be deleted at the end of the current payroll year.
C: Court order suspended - this is a system generated status code used only for court order administration fees that have to be temporarily stopped due to no court order deduction being taken. Any C status code is automatically changed back to the Active status either when there is sufficient income to take a court order or when selecting a new payroll period.
Specific: The specific amount of the addition/deduction for the employee which will either remain in place for all future payroll periods or be reset to zero when selecting the next payroll period depending on the addition/deduction type. This field may not be amended if the addition/deduction record is a Fixed or Basic period pay type.
This period: The period calculated amount of the addition/deductions for the current payroll period.
SSP: How many Statutory Sick Pay (SSP) days are to be replaced by the addition amount, if this is left as zero there willl be a pound for pound replacement of SSP.
Outstanding: Any outstanding addition/deduction due such as on loan repayments.
Y-T-D B/Fwd:: The accumulator value for this addition/deduction, this may be cleared down at points defined on the payroll company addition/deduction record itself, it will be one of the following:-
P: Payroll year end - the normal setting.
C: Customised period as defined within the payroll type parameters, for example, a calendar or financial year end may be defined.
N: Never - the accumulator will keep on growing in value.
Paid to BACS: This is system maintained. The amount that has been generated in the current payroll period and copied to the BACS Submission module using the Miscellaneous options menu option called Transfer BACS buffer to BACS.
What do you want to do?
Benefits tab
The Benefits form is displayed when you select the Benefits TAB from the Payroll Record form.
Either the detail for the codes are attached on payroll record creation which involves usually adding the code and setting the status to Active or attached to the payroll record when using the Input pay details option for the first time with the employee.
A decision on set up needs to be made on the merits of having very heavily used codes added to the payroll default record as this at least ensures the codes are in a consistent place for each employee. If this is required use the System maintenance menu option called Payroll record defaults.
The benefit records themselves are set up as a company data file shared between all payroll types within a payroll company, this is achieved using the within the Miscellaneous options menu option called Benefits. Up to 40 benefit codes from the payroll company database may then be attached onto each payroll record.
No.: Each benefit has an entry number associated with it ranging from 1 to 40. Within the Add/modify payroll record option the next free benefit row number will automatically be updated, within the Input pay details option you may choose the benefit row number when a benefit code is added to the payroll record.
Code: The four character benefit code. Codes can be added by clicking the New row button and clicking in the code field. A code cannot be deleted in a year once it has a 'Y-T-D B/Fwd' balance.
Tip : Click the Ellipsis button
Description: The 16 character description of the benefit.
V / %: A reminder that V is a value and % is a percentage type benefit.
Type: Type as defined on the payroll company benefit record:-
Method: The calculation method for the benefit:-
F: Fixed on the payroll company benefit record and used for each payroll period.
S: Specific to the payroll record and used as a default for each payroll period.
T: Temporary - specific to the payroll record but set to zero when selecting a new payroll period.
S: The status from one of the following:-
V: Value.
D: Daily value - the number of days in the payroll period are counted taking into account the joining date, leaving date, advanced holiday and tax year start and end dates.
B: A % of basic period pay.
S: A % of a specific fixed salary amount on the pension TAB of the payroll record.
N: A % of NI gross.
T: A % of tax gross.
P: A % of pension gross.
A: Active - this means any value entered will be included in the next calculation run provided the employee is included in the payroll run and not on advanced holiday - this is the normal setting.
S: Suspended - any value entered is temporarily stopped from being included in the payroll run.
D: Deletion - the benefit code is to be deleted at the end of the current payroll year.
Specific: The specific amount of the benefit for the employee which will either remain in place for all future payroll periods or be reset to zero when selecting the next payroll period depending on the benefit type. This field may not be amended if the benefit record is a Fixed type.
This period: The period calculated amount of the benefit for the current payroll period.
Y-T-D B/Fwd:: The accumulator value for this benefit, this may be cleared down at points defined on the payroll company benefit record itself, it will be one of the following:-
P: Payroll year end - the normal setting.
C: Customised period as defined within the payroll type parameters, for example, a calendar or financial year end may be defined.
N: Never - the accumulator will keep on growing in value.
Paid to BACS: This is system maintained. The amount that has been generated in the current payroll period and copied to the BACS Submission module using the Miscellaneous options menu option called Transfer BACS buffer to BACS.
What do you want to do?
Totals tab
What do you want to do?
The Totals form is displayed when you select the Totals TAB from the Payroll Record form.
If starting the payroll at the start of the tax year there are very few if any fields entered here, if a mid tax year set up it is important to ensure the data entered only refers to the current employment and for joiners during the tax year does not include the values already entered on the P45 details section on the Static 1 TAB.
All fields down to Savings refer to the current tax year only.
Some questions to ask yourself when considering if it is necessary to complete fields on the Totals TAB
Are you setting up the payroll mid tax year? - if you are your should produce a report or separate NI, PAYE, SSP, SMP, SPP, SAP, pension reports from your existing system.
If you are setting up the payroll mid tax year you should identify what the figures reflect for joiners - is it full tax year or current employment? - only current employment must be recorded on the Totals TAB, previous employment is recorded on the Static 1 TAB.
If you are setting up the payroll mid tax year do any employees receive anything not such to NI or tax or given NI or tax relief? - this will have a bearing on the gross figures entered.
Are holiday balance or accrual logging to be used ? - if yes this data is required, it may be easier to start using holiday balance recording at the start of a holiday year or not at all within the payroll module if the human resources module is being used instead.
If you are setting up the payroll mid tax year do you have a requirement to show tax year to date pension details? If yes pension reports will need to be produced that identify the employee pension, employee Additional Voluntary Contribution (AVC) and employer pension from your current system.
If you are setting up the payroll mid tax year do you have a requirement to report gross pay for SSP due to claiming back SSP under the Threshold Percentage Scheme? If yes SSP reports will need to be produced that identify the gross SSP payment and optionally the SSP amount after company sick pay replacement of SSP and the number of SSP days.
If you are setting up the payroll as a new user and not for a new employee are there any special accumulators on addition/deductions? - these are used to record the total payments or deductions used by additions/deductions, for example, sales commission. If required it will be necessary to report the figures off your current system.
If you are setting up the payroll mid tax year is there any occurrence of SMP, SPP or SAP scheme and is the company in the Small Employer Relief Scheme for SMP, SPP and SAP? If yes then it is necessary to report the figures off your current system for the gross, paid after company replacement, claimed and compensation. Claimed and compensation figures vary depending on if the company is in the SMP, SPP or SAP Small Employer Scheme.
If you are setting up the payroll mid tax year are there any % based pensions? - if there are it is necessary to report the gross pay included in the pension calculation off your current system .
If you are setting up the payroll mid tax year are there any employees that have changed their NI code or director NI scheme status during the current tax year? - if there are there it is necessary to report the earnings and NI payments under the different codes or director status off your current system. Gross pay and the other first fields
Gross Pay(M): Total employee's gross pay.
Gross Pay For Tax(M): Total gross pay subject to tax.
Gross Pay For National Insurance (N.I)(M): Total gross subject to NI. This is the current employment current tax year regardless of whether or not there has been a change of NI code or director NI status during the tax year.
Gross Pay For Pension(M): Total gross pay less payments which are not considered to be eligible for pension calculations. This is used on % based pension schemes only.
P.A.Y.E. Tax(M): Tax paid by the employee in the current tax year.
Net pay(*): Employee Net pay to date.
For mid tax year set up completion of the NI and NI earnings fields see the examples listed below.
National Insurance fields
The four NI earning fields listed below add back to the NI earnings which used to be reported on the year end P14/P60.
The NI earnings will generally be the same as the Gross pay for NI unless the employee has in 1 or more pay periods exceeded the Upper Earnings Limit (UEL), is a director for NI purposes, has changed their NI code or come from a manual payroll system where NI books were rounded.
For 2005/2006:-
Weekly lel=82, eet = 94, ert = 94, uel = 630
Monthly lel=356, eet = 408, ert = 408, uel = 2730
The maximum amount therefore in each payroll period is :-
Weekly 0-lel = 82, lel-eet = 12, eet-ert = 0 and ert-uel = 536
Monthly 0-lel = 356, lel-eet = 52, eet-ert = 0 and ert-uel = 2322
Examples:-
Weekly NI gross 0-lel lel-eet eet-ert ert-uel
50 50 0 0 0
90 82 8 0 0
100 82 12 0 6
200 82 12 0 106
630 82 12 0 536
630+ 82 12 0 536
If you do not have the brought forward figures to hand you will have to calculate each payroll period in turn and calculate the 4 bands then add up the totals and put them in place.
Attention needs to be paid to advance holiday payments on a weekly payroll or director NI, the EET and ERT figures are derived from the annual figure divided by 52, multiplied by the number of pay weeks involved and then always rounded up, paying a normal pay week plus 2 holiday weeks thus uses an EET of (4895/52)*3 rounded up = 283 pounds. The LEL will be 3 * 82 = 246 pounds, the LEL - EET figure is 283-246 = 37 pounds. The ERT is the same as the EET for 2005/2006 therefore the EET-ERT = 283-283 = 0 pounds. The UEL will be 3 * 630 = 1890 therefore the ERT-UEL = 1890-283 = 1607 pounds.
National Insurance Earnings (0 to L.E.L.)(M): The earnings under the current NI code recorded on the Static 1 TAB between 0 and the Lower Earnings Limit.
National Insurance Earnings (L.E.L. to E.E.T.)(M): The earnings under the current NI code recorded on the Static 1 TAB between 0 and the Lower Earnings Limit to the Employee Earnings Threshold.
National Insurance Earnings (E.E.T. to E.R.T)(*): The earnings under the current NI code recorded on the Static 1 TAB between the Employee Earnings Threshold and the Employer Earnings Threshold. Currently this figure will always be 0 since the employee and employer earnings thresholds are identical.
National Insurance Earnings (E.R.T. to U.E.L.)(M): The earnings under the current NI code recorded on the Static 1 TAB between the Employer Earnings Threshold and the Upper Earnings Limit.
National Insurance (Employer)(M): Total NI contributions for the employer for the current NI code.
National Insurance (Employee)(M): Total NI contributions for the employee for the current NI code.
National Insurance Rebate (Employer)(M): Total NI rebate for the employer for the current NI code. This is the employer rebate % found on the NI table multiplied by the amount between the lower earnings limit and the employer earnings threshold for each payroll period, only used on contracted out NI codes D,E,F,G,S and c.
National Insurance Rebate (Employee)(M): Total NI rebate for the employee for the current NI code. This is the employee rebate % found on the NI table multiplied by the amount between the lower earnings limit and the employee earnings threshold for each payroll period, only used on contracted out NI codes D and F.
Pension and student loan fields
Pension (Employer)(*): Total pension contribution for the employer calculated from details on the pension page of employee's record.
Pension (Employee)(*): Total pension contribution for the employee calculated from details on the pension page of employee's record.
Other pension(*): Total value of AVC's, etc. calculated from the Additions/deductions details that have a Pension tax flag set to either P or p.
Student Loan Recovery(*): Total value of student loans collected from the employee using the court order mechanism.
Contracted Out Money Purchase (C.O.M.P.) Earnings(*): The earnings from which the percentage contribution to the COMP scheme is calculated. The COMP earnings represents the earnings between the lower and upper earning limits based on a default of Gross pay for National Insurance purposes otherwise Gross pay for pension if a payroll type parameter called COMP from gross pension pay is ticked.
Contracted Out Money Purchase (Employer)(*): This is the amount which the employer is paying to the COMP scheme. Calculated as the Employer contribution % multiplied by the COMP earnings.
Contracted Out Money Purchase (Employee)(*): This is the amount which the employee is paying to the COMP scheme. Calculated as the Employee contribution % multiplied by the COMP earnings.
SSP, SMP, SPP and SAP fields
Statutory Sickness Pay (S.S.P.) Paid (days)(*): The number of days SSP paid to the employee in the year to date.
Statutory Sickness Pay Paid(*): The value of SSP paid to the employee after replacement by any company sick pay or occupational sick pay.
Statutory Sickness Pay Gross(M): The gross value of SSP calculated which is due to the employee if no other payments were made.
Statutory Maternity Pay (S.M.P.) Paid(*): The value of SMP paid to the employee after replacement by any company maternity pay or occupational maternity pay.
Statutory Maternity Pay Gross(M): The gross value of SMP calculated which is due to the employee if no other payments were made.
Statutory Maternity Pay Claimed(M): The value of SMP which the company claims back from the government. It need not be the same as the SMP gross.
Statutory Maternity Pay National Insurance Compensation(M): This represents the amount of NI compensation the company receives from the government for SMP paid out.
Statutory Paternity Pay (S.P.P.) Paid(*): The value of SPP paid to the employee after replacement by any company paternity pay or occupational paternity pay.
Statutory Paternity Pay Gross(M): The gross value of SPP calculated which is due to the employee if no other payments were made.
Statutory Paternity Pay Claimed(M): The value of SPP which the company claims back from the government. It need not be the same as the SPP gross.
Statutory Paternity Pay National Insurance Compensation(M): This represents the amount of NI compensation the company receives from the government for SPP paid out.
Statutory Adoption Pay (S.A.P.) Paid(*): The value of SAP paid to the employee after replacement by any company adoption pay or occupational adoption pay.
Statutory Adoption Pay Gross(M): The gross value of SAP calculated which is due to the employee if no other payments were made.
Statutory Adoption Pay Claimed(M): The value of SAP which the company claims back from the government. It need not be the same as the SAP gross.
Statutory Adoption Pay National Insurance Compensation(M): This represents the amount of NI compensation the company receives from the government for SAP paid out.
Non statutory fields
All of the fields from Savings downwards are not automatically set back to zero as a part of the payroll year end, they tend thus to be more optional in nature.
Savings(*): The amount of the employee net pay transferred to savings.
Roundings(*): This shows the amount of money which the employee is gaining or losing through rounding, any outstanding amount will be added or deducted on a Leavers final payslip. The type of roundings to be used are defined in Coin analysis in Systems maintenance option system parameters. This also carries any values as a result of a negative payslip being adjusted to zero.
Accumulator's 1-4(*): These fields allow you to record cumulative figures for particular additions or deductions taken from the list of standard additions and deductions in the payroll record. You may set these fields to zero by running the Payroll Miscellaneous options menu, utilities menu option called .
If holiday balances/accruals are used there are three types of usage - days, hours and values but clearly values must be used if accrual postings to the nominal ledger are to be used.
Balances may be entered in 2 distinct methods:-
Either enter the full year annual quota minus the amount taken in the current holiday year, in which case you are likely to run a Transfer holiday totals option at the start of the next holiday year or re-key in opening balances.
Enter the quota pro-rata to date for the current holiday year minus the amount of holiday taken in the current holiday year, in this case you are likely to run a Transfer holiday totals option at the start of every payroll period.
Running accruals is optional and is even optional as to whether or not postings are made to the Nominal Ledger. If used via the Static 2 TAB then the amount accrued in the holiday year needs entering, this figure will depend on the frequency that you transfer the accrued amounts onto the balances as described above.
Transferring accrued amounts to balances sets the accrued amount to zero.
Accrued Holiday Days(*): The total number of holiday days accrued. Use the Transfer holiday totals option at the start of a payroll period to transfer the totals in this field to the Holiday days balance field, and to set the totals in this field to zero.
Holiday Days Balance(*): A balance of the number of holiday days remaining to be used. Note it is recommended that this not be used if the human resources module is used.
Accrued Holiday Hours(*): This field gives a total of the holiday hours accrued. Use the Transfer holiday totals option at the start of the payroll period to transfer the totals in this field to the 'Holiday hours balance' field, and to set the totals in this field to zero.
Holiday Hours Balance(*): A balance of the number of holiday hours remaining to be used.
Accrued Holiday Value(*): This field gives a total of the holiday value accrued. Use the Transfer holiday totals option at the start of the payroll period to transfer the totals in this field to the 'Holiday value balance' field, and set the totals in this field to zero. The period accrued holiday value is optionally posted to the nominal ledger if the payroll system parameter called Holiday pay accrual is ticked.
Holiday Value Balance(*): A balance of the holiday pay remaining to be used.
Holiday pay(*): The total amount of holiday pay paid to the employee in the current tax year.
What do you want to do?
Earnings history Tab
The Earnings history form is displayed when you select the Earnings history TAB from the Payroll Record form.
When creating a payroll record it is unlikely you will need to enter the Earnings history TAB.
A question to ask yourself when considering if it is necessary to complete fields on the Earnings history TAB
Are you setting up the payroll mid tax year and using average pay for holiday or other payments? - if you are you should produce a report detailing the holiday earnings history from your existing system and load the Holiday gross pay data for those employees paid using average pay rates. Holiday gross pay(*): The amount of pay flagged within the rates table and addition/deductions that is to be included in the holiday earnings history which in turn is used to generate average payments using the V payment method on the rates table to the employee. The Current field is completed during the running of the calculate pay process, -1 to -13 represents the last 13 payroll periods and it is this data that may be loaded if required.
S.S.P./S.M.P. gross pay(*): This is the gross pay for National Insurance purposes for the previous 26 payroll periods. It does not have to be loaded, if nothing is found during the system use the basic period pay figure is used to determine the SSP rate or SMP/SPP/SAP average weekly pay figure. The SSP rate is more often than not paid at rate 1 and can be amended in the System maintenance option called SSP history if required, the SMP/SPP/SAP average pay can also likewise be amended when entering maternity, paternity, adoption details and starting the Maternity, Paternity, Adoption Pay Period (MPP, PPP, APP).
What do you want to do?
National Insurance history Tab
The National Insurance history form is displayed when you select the National Insurance history TAB from the Payroll Record form.
When creating a payroll record it is unlikely you will need to enter the National Insurance history TAB.
A question to ask yourself when considering if it is necessary to complete fields on the National Insurance history TAB
Are you setting up the payroll mid tax year and do you have one or more employees that have either changed their NI code or director NI status during the current tax year? - if you are you should produce a report detailing the national insurance earnings from your existing system and load the National Insurance history data for those employees that have either changed their NI code or director NI status during the course of the current tax year. The National Insurance history TAB is split into two sections called History Record 1 and History Record 2. Each section mirrors the functionality found on the Totals TAB with a few exceptions listed below. When the system is being used if the NI code or the Director status of the employee is changed on the Static 1 TAB and the Totals TAB shows brought forward NI earnings or payments the information is automatically shuffled from History Record 1 to History Record 2 followed by the Current Totals TAB information being copied into History Record 1 and finally the Totals TAB NI information being reset to zero. All three NI sections are included in NI reporting throughout the payroll system.
Previous N.I. code(M): The NI code found on the previous NI set of information or the Static 1 TAB prior to be change to the NI code or director status being performed on the Static 1 TAB.
Period changed(M): The payroll period used on the previous NI set of information prior to be change to the NI code or director status being performed on the Static 1 TAB. For the History Record 1 this would store the current payroll period once a NI code or director status has been changed on the Static 1 TAB.
SCON number(M): The SCON number found on the previous set of NI information or the Pension TAB prior to be change to the NI code or director status being performed on the Static 1 TAB. SCON numbers are required for NI codes F, G and S but are otherwise set to 000000000.
Director(M): The director status found on the previous set of NI information or the Static 1 TAB prior to be change to the NI code or director status being performed on the Static 1 TAB. If the director is being treated as a director for the full tax year and being changed for the final payroll period into a director with the weeks at director set to 0 or 52 the History Record 1 Director field will be set to Y automatically when the director flag is changed from N to Y on the Static 1 TAB.
Gross pay for National Insurance(M): This is the amount of earnings subject to national insurance earnt under the NI code or director status specified and is also included within the current employment current tax year grand total found on the Totals TAB.
What do you want to do?
Tax credit information Tab
The Tax credit information form is displayed when you select the Tax credit information TAB from the Payroll Record form.
When creating a payroll record it is unlikely you will need to enter the Tax credit information Tab because Tax credit processing by employers was phased out during the course of the 2005-2006 PAYE year.
A question to ask yourself when considering if it is necessary to complete fields on the Tax credit information TAB
Are you setting up the payroll mid tax year and do you have one or more employees with a tax credit or does your new employee have a tax credit? - if you are you should produce a report detailing the tax credit payments from your existing system or have to hand the tax credit instructions from HM Revenue & Customs (HMRC) for a new employee. In the more complex cases of when an employee is to receive two or more tax credit payment rates within a single tax period the most recent payment rate for the tax credit should be completed on the Tax credit information TAB of the payroll record. Any earlier tax credit should be paid as a temporary Addition/deduction record set up with the Tax field set to Tax credits and the posting made Specific to the Tax credit or PAYE control account.
Start date: The start date of the latest tax credit.
End date(*): The end date - No longer entered unless advised.
Stop date: The stop date - only entered if advised.
Daily rate: The daily rate specified.
Total Tax Credits(M): The tax year to date total tax credits for the employee.
Total Tax Credit Days(*): The number of days in the tax year that have had paid tax credits.
Latest Tax Credits: The total amount of the latest tax credit within the current tax year.
What do you want to do?
Audit Tab
The Audit form is displayed when you select the Audit Tab from the Payroll Records form.
The audit data TAB is system maintained and may be used to check when and by who a payroll record has been created or amended. A more detailed audit of amendments to the data may be maintained by setting up the Change log control.
The following fields are displayed on the Audit Tab. All of these fields are self-explanatory and thus no explanation is supplied.
Date created
Time created
Created by
Creation terminal
Date amended
Time amended
Amended by
Amendment terminal
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Guidance on system set up
If you are setting up a Kerridge payroll converting from another system then this section should be used as guidance together with the detailed advice held in the rest of this help file after the payroll system structure has been set up by a Kerridge consultant.
Create each employee record using the Employee records module option called Add/modify employee details
Create each payroll record using the payroll module option called Add/modify payroll record. Refer to the field guidance at the top of this help file advising on what are the critical fields to complete at all times or for a mid tax year set up or are less critical. Refer also to the various questions listed at the start of each of the TAB sections of the help file for advice. Categories of employee that require special attention and for which it is recommended are set up in the presence of a consultant:-
- Joiners with/without P45
- Leavers
- Director NI
- Employees with a change of NI code
- Employees currently on holiday on a weekly based payroll
- SMP details
- SPP details
- SAP details
- SSP records in previous period
- Court orders including the Collection of Student Loans
- Tax credits
A P35 listing report should be printed for all employees and all payroll periods up to the close of the previous payroll period if the payroll is unconfirmed before any calculation having loaded the payroll records, this is run from the Reports & Enquiries, Year-end reports menu. This excludes previous earnings, the details should be agreed with the source system before commencing payroll use.
P11 history does not need to be loaded although it should be noted the year end P11 report will not reflect data not loaded, earlier P11 data should be maintained for at least 3 years from an earlier system even if only in the form of a printed report.
SSP history records do not generally have to be loaded but it is recommended the latest SSP record be loaded using the System maintenance, SSP history option in cases where the first payroll period is to include a linked record to the last SSP record used on the old system. This is to ensure the same payment rate is used. In the extreme cases of long term sickness where the 28 week liability rule is relevant or the 3 year rule is relevant it is also recommended that all of the SSP history records are loaded using the System maintenance, SSP history option.
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