Tax relief for employee pension contributions to pensions schemes is given in two different ways: The Net Pay Arrangement This is where contributions are deducted from an employee’s pay and tax relief is given to the employee at source, applied at their marginal rate. Relief at Source Contributions are deducted after tax and NIC and […]
On October the 30th, 2024, the UK government revealed proposed increases to statutory payment rates and various benefits, which are set to take effect in April 2025. The announcement follows the statutory annual review of state pensions and benefits under the Social Security Administration Act 1992, aligning increases with key economic indicators such as average […]
Read articleA lot of employees incorrectly assume that employers are responsible for an employee’s tax affairs/tax code. This is mainly based on the fact that the employer deducts Tax from their pay. Should an employee receive a tax bill for underpaid tax, or even a refund, they query this with the employer as to why this […]
Read articlePost Budget delivery 2025, what can we take away from the impacts on Payroll No surprise the Personal Allowance set at £12,570 is to be frozen for a further 3 years, this was originally due to end 5 April 2028, but is now extended to April 2031. The upper limit for National Insurance as it […]
Read articleReimbursements Gain Exemption, Direct Relief Abolished The UK government’s Autumn Budget has delivered a double-edged sword for remote and hybrid workers, with significant tweaks to tax treatment of home working expenses. In a bid to streamline claims and encourage employer involvement, Chancellor Rachel Reeves announced that income tax and National Insurance contributions (NICs) exemptions for […]
Read articleThe 2025 UK Budget delivered one of the most wide-ranging sets of changes in recent years, affecting everything from wages and pensions to tax thresholds, savings rules and electric vehicle incentives. Whether you’re a worker, saver, parent or employer, these updates will shape your financial picture over the coming years. National Minimum Wage Increases Millions […]
Read articleDouble cab pickups, commonly known as DCPUs, are versatile vehicles featuring two rows of seats and four doors, allowing them to carry multiple passengers while providing a spacious loading area at the back such as the Ford Ranger. For years, DCPUs have enjoyed favourable tax treatment, as they’ve been classified as vans rather than cars. […]
Read articleNo sooner had we discussed the potential for tax rises to be included in the Chancellors’ Budget on the 26 November, it now seems that the Government may have had a change of heart. It was never going to be the most popular choice, given it would lead to a renege on the Governments’ manifesto […]
Read articleHM Revenue & Customs (HMRC) has revealed that over 5.6 million people have used the HMRC app since 6 April 2025 – and it’s proving the perfect conversation starter for money matters across generations. This year’s theme, ‘start the conversation’, couldn’t be more timely. Whether its grandparents explaining National Insurance to teenage grandchildren, parents checking Child Benefit eligibility, or siblings […]
Read articleAs the chill of autumn sets in, so does the anticipation for Chancellor Rachel Reeves’ first major Budget on November 26. Whispers from Westminster suggest a stealthy tax tweak that could quietly reshape how millions save for retirement: a £2,000 annual cap on salary sacrifice contributions to pensions. If confirmed, this move would claw back […]
Read articleIn her first Mansion House speech as Chancellor, Rachel Reeves has set her sights on reviving the UK’s economic growth with a bold proposal to reshape the country’s pensions market. Reeves unveiled plans to create “pension megafunds” aimed at unlocking up to £80 billion of investment for businesses and infrastructure projects across the UK. The […]
Read articleSign up for our weekly payroll newsletter to keep informed about all the changes in the payroll industry.
.png)
