Tacconi Green Payroll Ltd

13/08/2025

Efficient payroll management is essential for any business. Streamline your payroll processes today and ensure compliance with the latest regulations by visiting our website at tacconigreenpayroll.co.uk.

13/08/2025

Quarter year update on all things Payroll.

02/11/2023

Payroll newsletter November 2023 in brief.

Tax codes apply to the income of everyone who is employed full-time or part-time, or receiving a private pension. Everyone who has PAYE income has a responsibility to check that each tax code is correct. Please do not think that the responsibility for getting it right rests with employers, pension providers or HMRC. Whilst they have their part to play, it is ultimately up to everyone to make sure that their tax codes are right and also working correctly. This gets slightly more complicated for people who have more than one source of taxable income. If you believe there is a mistake, you should contact HMRC immediately, to have it checked and corrected if necessary.

If you do pay early over the Christmas period, please report your normal or contractual payday as the payment date on your Full Payment Submission (FPS) and ensure that the FPS is submitted on or before this date.

The current late payment and repayment interest rates applied to the main taxes and duties that HMRC currently charges and pays interest on are:

Late payment interest rate — 7.75% from 22 August 2023

Statutory sick pay is paid to employees by their employer if they are sick and unable to
work. Currently, statutory sick pay is:

£109.40 per week for a maximum of 28 weeks
Taxable
Is subject to eligibility conditions being met

It is paid for the days an employee would normally work if they were not ill – these are called “qualifying days”. It is paid in the same way as wages, on a normal payday, deducting tax and National Insurance.

10/07/2023

Payroll news July 2023

As always I would like to thank you for using Tacconi Green Payroll Ltd. As we get busier & in order for us to continue providing the same level of service I have decided to introduce an employee leaver form. This will need to be completed every time an employee leaves your employment. Available on request.

Automatic Enrolment Pension opt outs

The onus is on the employee to opt-out & we can provide details of how to do this which you can pass onto the employee. Once the above has been actioned by the pension provider they will advise me by email that the employee has opted out and if there are any contribution’s to be refunded. I will then process this through payroll. Remember that employees have 1 month from being enrolled to opt out to get their contributions already paid refunded.

Re-enrolment and re-declaration

Re-enrolment and re-declaration are two stages in the process that your client goes through every three years. Your client must re-enrol staff who left their pension, or reduced their contributions, back into a scheme that can be used for automatic enrolment, and complete a re-declaration of compliance. The declaration must be completed within five calendar months of the third anniversary of their staging date.

Statutory Sick Pay (SSP)- quick guide

Your employees may be eligible for Statutory Sick Pay (SSP), which is £109.40 a week for up to 28 weeks.
You can offer more if you have a company sick pay scheme but you cannot offer less. Company schemes are also called ‘contractual’ or ‘occupational’ sick pay and must be included in an employment contract.
Statutory annual leave is accrued while the employee is off work sick (no matter how long they’re off) and can be taken during sick leave.
SSP is paid when the employee is sick for at least 4 days in a row (including non-working days). You cannot count a day as a sick day if an employee has worked for a minute or more before they go home sick.
You can only ask for a fit note if your employee is off work for more than 7 days in a row (including non-working days).
You cannot withhold SSP if the employee is late sending you a fit note.

06/06/2023

The first 2 months of the new tax year have flown by, I’m sure you will agree. Hopefully we can now all look forward to some sunshine. In payroll there are 2 questions we get frequently asked for, so I thought for this newsletter I will address these questions.

Question 1 is, of course, holidays. It’s important to have a set holiday year in place e.g. Jan to Dec (most popular) or April to March, this is down to you, the employer, to decide.
How much holiday should your employees get?
All employees have the right to paid holiday ('statutory annual leave') whether you work:
• full time
• part time
• under a zero-hours contract

The amount of days you get depends on:
• how many days or hours you work
• any extra agreements you have with your employer

You build up ('accrue') holiday from the day you start working, including when you're on:
• a probationary period
• sick leave
• maternity, paternity, adoption or shared parental leave
Your employer can choose to give you more holiday than the statutory entitlement. Your employment contract must say how much holiday you get.

Statutory annual leave
By law an employee working the normal 5 day week, you're entitled to 5.6 weeks (28 days) paid holiday (this includes bank holidays) a year.
Your 5.6 weeks' (28 days) statutory holiday is usually made up of:
20 days = 4 weeks (however you may give more for instance due to length of service)
+ 8 days (which can be the year's bank holidays) = 1.6 weeks
Your 5.6 weeks' statutory annual leave entitlement might include bank holidays, depending on your contract.

So for someone who works 4 days their entitlement would be 22.4 days (28/5x4 worked)
Are employees automatically entitled to the additional bank holiday?
This will depend on the wording of the employee’s contract of employment. It is important to note that employees do not have an automatic right to paid time off on a bank holiday. Employers are advised to check the wording of their employment contracts and communicate with employees about whether or not they will be required to work on the additional bank holiday in line with the terms of the contract.
With regards to an employee who works based on hourly pay as they work different hours, the method below can be used:
The standard rate by which to increase a zero hour contract worker’s basic hourly pay to account for holiday pay is 12.07%, although it is now arguable that businesses should instead calculate holiday pay based on the worker’s average pay for the past 12 weeks (52 weeks from 6 April 2020). Any weeks during which the zero hour contract worker was not working should be disregarded. As a result, workers could be entitled to receive full pay for holiday taken after a very quiet period in which they had not worked for some time. I would also suggest with these employees you pay their holiday accrued each month they are paid. EG Sarah worked 80 hours in May & her holiday accrued would be 9.656 hours, so she would be paid a total of 89.656 hours in May. This ensures you never owe holiday pay & if they leave and have accrued 70 hours you do not have to pay a large amount in 1 month.

Question 2 – tax code notices

We receive these automatically from HMRC and they are applied when we run the payroll each month/week. Employees also receive these from HMRC by post, the copy they have includes a full breakdown of the code. If they have a query they need to call HMRC 0300 200 3200.

Common reasons a code might change are if you have 2 jobs, additional income, you have started to get pension payments, or you have additional benefits (private health/Co car). Just remember the onus is on the employees to sort out their tax code. If they do call & it has been changed we get the code notification from HMRC with 48 hours.

You can also split your tax code if you have 2 jobs. Again this is down to the employee to sort out with HMRC. But I can advise on the best split.

04/04/2023

Goodbye 2022-23 & Hello to 2023-24

2023-24 – Employer Focus Points

The main points to be noted by employers are:
• The personal tax allowance will remain the same @ £12,570 for the new tax year 2023-24 and the plan is to keep it at this level until 2026.
• The higher rate income tax threshold will be £37701.00 from 6th April 2022 and will be frozen until April 2026.
• The NIC primary threshold will be £12570pa or £1048pm for 2023-24.
• There are 9 bank holidays in 2023.
• The Employment Allowance remains £5000 and will apply to eligible employers whose Secondary Class 1 National Insurance Contributions liability is under £100,000 a year.
• From 1st April 2023, the National Living Wage of £10.42 per hour will now be paid to employees aged 23 years and over instead of the previous age threshold of 25 years and older.
• Employees’ NI will be 12% on earnings above the primary threshold up to and including the upper earnings limit. (£1048 to £4189 per month) from 6 April. The rate of Employers NI will be 13.8% on all earnings above the secondary threshold (£758 per month)
• Employers will not be required to pay Class 1 Secondary Threshold NI contributions on earnings up to the Upper Secondary Threshold (UST) for employees who are under the age of 21. Class 1 secondary NICs will however continue to be payable on all earnings above the UST. The value of both the UST and the Upper Earnings limit will be £967 per week.
• There is also an Apprentice Upper Secondary threshold for under 25’s. The value of this is the same as UST at £967 per week.

Use these rates and thresholds when you operate your payroll or provide expenses and benefits to your employees.

01/03/2023

Tax thresholds, rates and codes 23/24 tax year

The amount of Income Tax you deduct from your employees depends on their tax code and how much of their taxable income is above their Personal Allowance.
The standard employee personal allowance for the 2023 to 2024 tax year is:
• £242 per week
• £1,048 per month
• £12,570 per year

Statutory rates for 23/24 tax year

The rate for 2023/24 for statutory maternity (SMP), paternity (SPP), adoption (SAP), parental bereavement (SPBP) and shared parental pay (ShPP) will increase from £156.66 to £172.48 per week. Additionally, the rate of statutory sick pay (SSP) is also set to increase from £99.35 to £109.40 per week.

Employment Allowance for the 23/24 tax year

The Employment Allowance allows certain businesses who employ workers to reduce their annual National Insurance (NI) bill by up to £5,000 (for the 2023/24 tax year).
The Employment Allowance applies to smaller businesses only. Businesses with an Employer NI bill of £100,000 or more in the previous tax year will not be able to claim the allowance.

06/01/2023

Welcome to 2023 & a Happy New Year.

As we start another holiday year, one of the most asked questions in payroll relates to holiday entitlement and pay for your employees. So I thought I would provide clients with some handy information on this subject:

Statutory annual leave
By law, employees entitled to 5.6 weeks' paid holiday ('statutory annual leave') a year.
Employees 5.6 weeks' (28 days) statutory holiday is usually made up of:
20 days = 4 weeks
+ 8 days (which can be the year's bank holidays) = 1.6 weeks
Employees 5.6 weeks' statutory annual leave entitlement might include bank holidays, depending on your contract.

So for someone who works 4 days their entitlement would be 22.4 days (28/5x4 worked)

Also do not forget the extra Bank Holiday in 2023.

This will depend on the wording of the employee’s contract of employment. It is important to note that employees do not have an automatic right to paid time off on a bank holiday. Employers are advised to check the wording of their employment contracts and communicate with employees about whether or not they will be required to work on the additional bank holiday in line with the terms of the contract.

01/12/2022

You have probably noticed that you paid less NI in November numerous changes to national insurance (NI) this year, ‘unprecedented’ has been the word used quite a few times. However, the repeal of the National Insurance Levy (1.25%) effective from 6 November 2023, and subsequent reversal of the Health and Social Care Levy that was due to take effect from April 2023, will proceed.
The Department for Work and Pensions (DWP) has released the benefits and pension rate document detailing the rates currently known for 2022/23 and 2023/24. This confirms state pension at £203.85 for 2023/24.
Statutory maternity, paternity, adoption, shared parental and parental bereavement pay will all be set at £172.48 per week and statutory sick pay will be set at £109.40 per week.
Next year will see a larger than usual rise in National living wage with an increase of 9.7%. This will take it from its current level of £9.50 to £10.42 from the 1st of April 2023

Get started with a free consultation & quote today

01/11/2022

National Insurance increase reversed

As you are probably aware the 1.25 percentage point rise in National Insurance will be reversed from 6 November, the Chancellor Kwasi Kwarteng announced in September. This is to help with the cost of living crisis. Below is some information on how this affects your employee’s & business’s:
From 6 November 2022, the temporary 1.25 percentage point increase in National Insurance rates is being reversed for the rest of the financial year.
Almost 28 million employees will save on average £330 next year, whilst employers will benefit from this reduction saving almost £10,000 on average (£4,200 on average for small businesses and £21,700 for medium-sized firms).
The government also announced the cancellation of the Health and Social Care Levy, which was due to be introduced in April 2023.
Employers
The Employment Allowance increase by £1,000 from £4,000 to £5,000 made on 6 April 2022 will remain.
Employers which have paid NIC at 15.05% from the beginning of this tax year, will pay NIC at 13.8% from 6 November 2022. The same reduction applies also for Class 1A and Class 1B NIC due to taxable benefits in kind provided to employees.
Employees
The rates for employees have been restated to 12% for the basic-rate taxpayer and 2% for higher and additional-rate taxpayers. The current tax year, 2022/23, has been a transitory period for them resulting in two consecutive rate changes and uplift of their threshold from £9,880 to £12,570 per annum from 6 July 2022.

This year they'll pay:
• From 6 April 2022: 13.25% between £9,880 and £50,270 and 3.25% of income above £50,270.
• From 6 July 2022: 13.25% between £12,570 and £50,270 and 3.25% of income above £50,270.
• From 6 November 2022: 12% between £12,570 and £50,270 and 2% of income above £50,270.

10/08/2022

HMRC late payment and repayment interest rates to increase from 23rd August 2022
Following the change to the Bank of England bank rate, her majesty’s Revenue and Customs (HMRC) will be increasing interest rates.
These interest rates are set in legislation and are set as follows:
• late payment interest rate is the bank rate plus 2.5%
• Repayment interest is set at the bank rate minus 1%, but with a lower limit of 0.5%.
As the base rate has now reached 1.75%, repayment interest will now rise with the bank rate should it increase further.
From 23 August 2022, the rates will be:
• Late payment interest – 4.25%
• Repayment interest – 0.75%
Up to that date the rates will be 3.75% and 0.5% respectively.

06/07/2022

06 July 2022

Important news !!!!

As announced in the spring statement in March, the primary threshold (PT) for National Insurance (NI) calculations changes on 6 July 2022. Any NI calculations on payments made from today must be calculated based on the new threshold.
From 6 April 2022 to 5 July 2022, the PT was £9,880, which is equivalent to £823 per month or £190 per week.

From 6 July 2022, the PT is £12,570, which is equivalent to £1,048 per month or £242 per week.

For directors, the PT for 2022/23 is £11,908 (13 weeks at £9,880 and 39 weeks at £12,570).