National Payroll Week recognises the contribution that payroll makes to the UK economy, after all a massive £152bn is collected through income tax and £102bn through National Insurance via company payrolls every year.
This year the event, from 1st to 5th September 2014, also hopes to encourage employers to help their staff better manage their finances; currently only 38% of businesses offer financial education or advice to their staff.
If you run a business with employees, then your payroll team (in-house or outsourced) can take the lead in educating your employees about their payslips - their tax codes, deductions, auto-enrolment, pension contributions etc. Why not build a financial education strategy as part of your organisation’s reward package?
As inflation outstrips wages, savings becomes harder, but 56% of employees feel they would be able to put more money aside if their employer was able to take it directly from their pay, something which is possible through a payroll scheme.
You could also consider offering short-term loans to your employees to save them from potentially having to use payday lenders. This can be done through a credit union, or directly from your company - with the changes from April 2014 an employee can now have a beneficial loan up to £10,000 before they have any tax liabilities.
For advice on all your accounting and payroll issues in the Aldershot & Farnborough area, contact The Financial Management Centre.
