Payroll & Pensions
Paying people correctly, and the duties that come with it.
Can I employ my partner or another family member?
Yes, where they genuinely work for the business. The role, pay and records should reflect the work performed, and normal employer responsibilities still apply. Paying a family member does not automatically make the cost tax deductible or remove payroll obligations.
Can a director join a workplace pension?
A director can participate in a pension, but automatic-enrolment duties for directors depend on the company's circumstances and whether the director is treated as a worker for these purposes.
Can my limited company pay into my pension?
Yes, a limited company can make employer contributions to a registered pension scheme. These may reduce its taxable profits where the business expense rules are met. They also count towards your pension allowance checks, so the amount and timing should be reviewed before payment.
Can you calculate maternity, paternity or adoption pay?
Yes. We can calculate and process statutory family-related payments using the information you provide.
Can you calculate statutory sick pay?
Yes. We can process statutory sick pay where the employee meets the relevant conditions.
Can you correct a payroll mistake?
Yes. Contact us as soon as possible. We will review the issue and explain the best way to correct it.
Can you deal with leavers?
Yes. We will process final pay and produce the required leaving information.
Can you deal with new starters?
Yes. We will add new employees to payroll using the information you provide and process the relevant HMRC reporting.
Can you deal with starters and leavers?
Yes. We take care of all the necessary payroll changes.
Can you help with PAYE and National Insurance?
Yes. We calculate payroll deductions and tell you what needs to be paid to HMRC and by when.
Can you make payroll payments for me?
We can discuss payment options and suitable software. The exact process will depend on the service agreed and the controls you want to retain.
Can you manage workplace pensions?
Absolutely. We can manage pension submissions and auto-enrolment requirements.
Can you manage workplace pensions?
Yes. We can support auto-enrolment assessments, pension deductions and regular pension submissions.
Can you process bonuses and overtime?
Yes. You provide the approved figures before the payroll deadline and we will include them in the relevant pay run.
Can you process weekly payroll?
Yes. We can process weekly, fortnightly, four-weekly or monthly payroll depending on how your business pays its team.
Can you provide year-end payroll documents?
Yes. We complete the required year-end payroll reporting and make employees' annual pay information available.
Can you run payroll for just one employee?
Yes. We support businesses of every size.
Can you run payroll for one employee?
Yes. We support businesses with a single employee as well as larger teams.
Do I need to run payroll if I'm the only director?
Taking a salary may mean your company must register for PAYE and report it to HMRC, even when no Income Tax is due. Whether registration is required depends on the amount paid and other circumstances, such as other employment, pension income or benefits. We can check the current rules and the appropriate payroll setup before you pay yourself.
Do you provide CIS payroll support?
We can support Construction Industry Scheme requirements where agreed as part of the service. We will confirm the exact scope after discussing your business.
How do I check that pay meets National Minimum Wage rules?
Check qualifying pay against the hours that count under minimum wage rules for each pay reference period. The correct rate depends on the worker’s age and apprentice status. Deductions, salary sacrifice and unpaid working time can cause a shortfall even where the headline hourly rate looks high enough.
How do benefits such as company cars and medical insurance affect payroll?
Benefits can create employee tax charges and employer National Insurance or reporting obligations. The treatment depends on the benefit, who pays for it and the rules for the relevant tax year. Some benefits are handled through payroll, while others may require separate reporting. Tell CASS before introducing or changing a benefit so we can check the agreed payroll work and any additional requirements.
How often should payroll be run?
Payroll should be run according to the employees' contractual pay frequency — commonly monthly, but weekly and other cycles are possible.
How should holiday pay work for irregular-hours and part-year workers?
In Great Britain, qualifying irregular-hours and part-year workers have specific holiday accrual and pay rules. You need to check the contract, record hours and distinguish time off from holiday pay. Rolled-up holiday pay is an option for eligible workers, not a method for every employee.
How should student and postgraduate loan deductions be handled through payroll?
Use the employee’s correct loan plan, current payroll thresholds and HMRC instructions. Student and postgraduate loan deductions can apply together. Check starter information and notices promptly, and follow the proper correction or refund route rather than changing deductions informally.
How should tips, service charges and troncs be handled in payroll?
The treatment depends on how tips are received, who distributes them and who decides the allocation. Tips are not automatically tax free, and a tronc does not automatically remove National Insurance. Payroll treatment and the legal requirements for fair distribution need separate consideration.
Is payroll information kept confidential?
Yes. Payroll information is handled securely and only shared with authorised people.
Should I outsource my payroll?
Payroll is a good candidate for outsourcing when the process is taking too much internal time, the business lacks cover for holidays or absence, or the person running it isn't confident with payroll changes and deadlines.
What are P11Ds and when are they needed?
A P11D reports taxable benefits and expenses provided to an employee or director that have not been dealt with through payroll. A P11D(b) deals with the employer’s Class 1A National Insurance. Reporting depends on the benefit and tax year, with mandatory payrolling being introduced in phases.
What do I need to do when an employee leaves?
Provide the leaving date and any final pay items in time for the employee's last payroll. Holiday pay, deductions or other final adjustments may need to be included.
What does an employee cost beyond their salary?
Allow for employer National Insurance where due, pension contributions, benefits, recruitment, training, equipment and payroll administration. Consider paid leave and absence cover when planning capacity, without adding holiday pay twice where it is already included in salary. Reliefs and allowances may change the employer costs. CASS can help model the total cost and the effect on cash flow before you recruit.
What information do I need when taking on a new employee?
You will need the employee's personal details, start date, pay information, tax starter information and bank details, together with any contractual payroll items.
What information do you need before each payroll run?
We normally need details of hours, overtime, bonuses, absences, starters, leavers and any other changes before the agreed payroll deadline.
What is Employment Allowance, and can my business claim it?
Employment Allowance can reduce an eligible employer’s secondary Class 1 National Insurance liability by up to £10,500 for 2026/27. Eligibility and connected-company rules matter. It is not a cash grant or a reduction in employees’ National Insurance, and a claim needs to be made correctly through payroll.
What is pension re-enrolment, and what must an employer do?
Pension re-enrolment is the recurring duty to assess certain staff who have left an automatic enrolment scheme and put eligible staff back in. Employers must also complete a re-declaration of compliance, even if nobody needs re-enrolling. It is separate from ongoing payroll pension duties.
What is salary sacrifice, and is it suitable for my business?
Salary sacrifice is an agreed reduction in an employee’s contractual cash salary in exchange for a benefit, such as an employer pension contribution. Tax treatment depends on the benefit and current rules, so savings are not automatic. It must not reduce pay below the applicable minimum wage and can affect other entitlements. CASS can assess the payroll implications; contracts and pension product advice may need appropriate specialists.
What is the difference between an employee and a self-employed contractor?
The distinction depends on the real working arrangement, not simply whether someone sends an invoice. Control, personal service, substitution and financial risk are among the factors considered. Tax status and employment-rights status are not always identical, and using an intermediary company can raise additional questions. CASS can help assess the tax and payroll implications and identify when specialist employment advice is needed.
What payroll services do you provide?
We process payroll, issue payslips, submit required information to HMRC and support starters, leavers, statutory payments and workplace pensions.
What should I do if I’ve paid an employee too much?
Confirm the error and tell the employee promptly, explaining the amount and how it arose. Agree a reasonable repayment approach, taking their circumstances into account, and check any legal requirements before making deductions. Correct payroll records and HMRC reporting where necessary. CASS can help with the payroll correction; a disputed repayment or employment issue may need Acas or legal advice.
When can a small gift to an employee qualify as a tax-free trivial benefit?
A small gift can qualify if all the trivial-benefit conditions are met. The £50 cost limit is only one test: cash, contractual benefits and rewards for work do not qualify. Directors of close companies also have an annual cap, so check the whole arrangement before treating a gift as tax free.
When do I need to register as an employer?
If you start employing staff or paying directors in circumstances that require PAYE reporting, the business normally needs to register with HMRC as an employer before the relevant payroll submissions are made.
When do I need to send payroll changes?
We will agree a clear cut-off date for each payroll so there is enough time to process and check everything before payday.
When do I need to set up a workplace pension?
Workplace pension duties are linked to employing workers, so do not wait until somebody asks to join. You need to assess the workforce and have a suitable pension process in place when the duties apply.
Who needs to be automatically enrolled into a workplace pension?
Automatic-enrolment duties depend on factors including age, earnings and worker status. Employees who aren't automatically enrolled may still have rights to opt in or join.
Why is a director’s National Insurance calculated differently from an employee’s?
Directors normally have an annual earnings period for National Insurance, even if paid monthly. Payroll can use the standard annual method or an alternative method with a final reconciliation. This can make deductions look different from those of an ordinary employee.
Will my employees receive payslips?
Yes. Employees can receive secure electronic payslips for each pay period.