Limited Company

When running a hectic Limited business you cannot afford to use valuable time making sure you are complying with the Companies Act. One of the most important things to consider if you also have employees is to set up your company’s payroll. In practical terms, a payroll system will calculate the gross and net pay of all company employees and its directors, following deductions for taxes, pensions, child maintenance, and so on. This is the fundamental basis of PAYE (Pay-As-You-Earn).

In addition to their salaries, employees may be entitled to receive a wide array of additional types of pay, such as statutory sick pay and maternity pay.

Once these activities have been completed, you should submit a Full Payment Submission to HMRC, which contains all of these calculations.

For obvious reasons, almost all small limited companies use an accountant to run the payroll on their behalf.