Payroll and salary folders for company in Wrexham


Pins marking payroll date in calendar

Our Payroll Service is designed to relieve the burden of keeping up to date with current HM Revenue & Customs (HMRC) legislation in order to pay staff accurately.

Whether you are an established or new employer we can benefit your business by reducing costs, removing the headache of having to cover payroll staff absences whilst ensuring complete confidentiality and accuracy.

We can either provide a report of payments to be made to employees or can submit payments direct to employee accounts on your behalf.

With the choice of using our proven payroll administration system or your own in-house processes, our payroll service is completely flexible to fully meet your requirements and to seamlessly integrate with your business.

Our payroll service is provided across the UK to companies and organisations such as nurseries, playgroups, lettings agents, churches, trades, hairdressers to name but a few.

Our Payroll Service includes…

Set up

  • Choice of pay frequency (weekly, Monthly or other)
  • Choice of pay dates


  • New employees set up
  • Leavers processed
  • Forms P45, P6(t), P9(t) & starter declarations processed


  • Time sheet entry
  • Statutory payments calculated
  • Attachment of Earnings Orders administrated
  • Pensions administrated
  • Gross to Net calculation
  • Tax Year End processing


  • Full payroll reports produced
  • Reports sent electronically
  • Payslips produced (Paper or E-payslips)
  • Payslips can be dispatched direct to employees
  • PAYE amounts advised to pay over
  • Real Time Information (RTI) submissions

Payroll support

  • Third party enquiry forms completed
  • Queries resolved
  • Bespoke work undertaken
  • Employer & Employee help line
  • Auto Enrolment (AE)


Please click an answer below to expand:

What do I do if I employ someone?

  • Give the employee an Employee Details Form to complete
  • Ask for the Employee’s P45 from their previous employer
  • Forward both Employee Details Form and P45 to RMD Accountancy Solutions for processing

What is a P45 Form?

A P45 form is a document which is issued to an employee on leaving their employment. The form details the employee’s taxable earnings to date where appropriate and the tax code / basis previously operated.

The employee should then give this form to their new employer / RMD Accountancy Solutions in time for their first pay to be calculated.

A new employer / RMD Accountancy Solutions will then process the P45 Form based on the information detailed and the employee’s earnings will continue to be taxed at the appropriate level.

What is a tax code?

A tax code is a code which indicates the level of tax free allowance / pay an individual is entitled to in any tax year. Once an individual’s pay exceeds their tax free allowance for the year tax is then paid / applicable at the appropriate rate for the balance of the earnings exceeding the tax free allowance.

In terms of payroll processing the tax free allowances are pro-rated to the tax week / month for which the payroll is being calculated and so an individual’s earnings may exceed the tax free allowances in any week / month with tax becoming payable accordingly.

What does a tax code’s basis mean ?

A tax code can be either operated on a Cumulative Basis or on a Week 1 / Month 1 Basis. This has the following effects on the tax calculated within a payroll run.

Cumulative Basis
Tax codes on a Cumulative Basis enable previous earnings history and tax already paid to be taken in to account when calculating the tax on each payroll run. If an employee has overpaid tax in a previous employment or in the current employment the employee’s earnings have significantly dropped then the overpaid tax will be refunded via the payroll when it is run. Equally though, if an employee has not paid enough tax any underpaid tax would be recovered if the employee’s tax code is on a cumulative basis.

Week 1 / Month 1 Basis
If a tax code is operated on a Week 1 / Month 1 basis then the payroll will not take any other earnings history or tax paid into account and therefore refunds will not be generated via the payroll. Only the current earnings for the period being processed are used to calculate the level of tax due to be paid.

What is gross pay?

Gross pay is the total payment an employee is entitled to over a specific period. This may contain payments for hours worked, overtime, bonuses, expenses, allowances etc…

What is taxable pay?

Taxable pay is the total payment an employee is entitled to over a specific period on which tax is payable.

It should be noted that all payments an employee may be taxable.

What is net pay?

Net pay is the amount which an employee receives, often referred to as "Take Home Pay".

Net pay is the resultant pay after tax, national insurance, pension contributions and voluntary contributions have been deducted.

What holiday entitlement is an employee due?

Employees are entitled to 5.6 weeks holiday pay at average hours (this includes bank holidays)

If an employee doesn’t work fixed or regular hours, then the holiday pay is calculated on the average of the previous 12 weeks hours worked. Further information can be found on the website

What do I do if an employee is sick?

  • Ask the employee to complete a Self Certification Form (SC2) - This form covers employees for up to 7 days of a new period of sickness
  • If the employee if off for 7+ days the employee needs to submit a doctors note to enable SSP eligibility and payments to be determined

What do if do if an employee tells me she is pregnant?

Ask for her MAT B1 form from the doctor/midwife.

A MAT B1 details when the baby is due and is actual confirmation of pregnancy.

What do I do if an employee asks for time off to attend to paternal issues?

  • New parents are entitled to 2 weeks paid leave called Statutory Paternity Leave (SPP)
  • Leave must be taken in whole weeks
  • SPS is subject to the employee’s level of earnings / eligibility conditions

What do I do if an employee uses their car for business travel?

The employee can be reimbursed at a rate of 0.45p for their first 10,000 miles and then 0.25p for 10,000+ miles without incurring a tax liability (tax + NI free).

What do I do if an employee is given a company car?

A company car is a taxable benefit and therefore the employee incurs a tax liability and the employer incurs NIC class 1A liability.

  • Form P46 Car needs to be completed detailing the make, model, emissions of the vehicle together with the employee’s details NINO etc
  • The form is then sent to the HMRC for processing. The HMRC will then issue a revised Tax Code for the employee concerned

What is the Employer Payslip Booklet (P30BC)?

The Employers Payslip Booklet is used to make payments of PAYE over to HM Revenue & Customs by cheque. HMRC are now encouraging payments to be made by bank transfer / electronically now and where this is done HMRC have stopped issuing payment booklets.

Where do I post payments made in respect of the payroll to the accounts?

Payments paid out for the following:

  • Net Pay
  • PAYE
  • Pensions
  • Attachment of Earning Orders

These payments are all posted to the same nominal account that the liability was posted to within the accounts. Once all the payments have been made the liability accounts should either balance off to zero or carry a balance of payments still awaiting to be paid out - this may be the case if you have a weekly payroll and payroll journals are being posted more regularly.

Get in touch with us today

See how RMD Accountancy Solutions
can work with your business.
Call us on 01978 421 257 or email