Hello, I need to run a payroll on Thurs ...
I need to run a payroll on Thursday due to the BH weekend. We estimated an advance for our last fortnightly because furlough was still new. I've been watching this group & the release notes and I cannot tell if I have missed some fundamental guidance. Forgive me if I have.
1) Functionality exists to furlough team in HR but this has no actual impact on payroll and nor does the ability to bulk-furlough yet exist. Is that correct? If so, whilst it feels a "nice to have" on the HR records, I will wait for bulk upload because it isn't going to help me get my payroll correct which is the more pressing issue than the HR records. Please confirm that I am not missing something here and when bulk upload is expected.
2) How are you anticipating that we use the system to calculate the correct furlough sums, particularly for flexible team. The change in holiday calcs to 52 weeks is helpful (perhaps) but would need combination with the av days/week to give day rate as holiday system does to be used for furlough calcs. It's also only an approximation for the HMRC guidance which I read as being April to Feb inclusive. Or are you suggesting we use average payroll. Again, I can find no guidance on best practice or whether a system is being built or a manual workaround is suggested. Please provide us with recommended reports to run, even if it's just as a temporary approximation.
3) Is the plan to build an HMRC export or should we plan to do this manually? If its manual, that's fine, but tell us please as we will start keeping records.
What chances to do I have of clarity on these before Thursday? I cannot believe everyone isn’t in the same boat, but if not, please can the community tell me what I am missing! I’m happy to do the work, but I just don’t want to do it twice because I guess what to do the first time and then find a better way. I do feel like this must be something in the communities page and perhaps I simply cannot find it.
Thanks for your questions.
1 - You are correct. the furlough status is a page to record your employee's furlough status. This will feed into 2 exports that we are also working on. The bulk update screen will also include an export that will give details on all furloughed employees, their start date, contracted or average hours, average pay for hourly employees (for the 2019 tax year according to HMRC guidelines) and the pay rate.
2 - The release this week will add additional fields to the furlough page including the average earnings for the 2019 tax year based on HMRC guidance.
3 - Yes, we are also working on an export that will show the furlough pay (if a separate furlough payment type is used), the appropriate ER NIC and the appropriate minimum auto enrolment ER costs. Hopefully this will be available before the end of April.
I hope this answers your questions.
Thank you so much for the quick response. Reading between the answers, it seems to me that you are potentially suggesting we do another payroll with "estimates" and then hopefully tidy everything in 2 weeks' time with a big catch up and adjustment once the proper calcs can be made. Is that a sensible approach?
I guess the answer depends on when the release this week is coming as if it's tomorrow then potentially we can still run actuals. Are you able to give a little more guidance on that?
Thank you. @Saskia Dykstra has just talked me through a wonderfully helpful report in Analytics that we can use to get the average pay for the relevant periods.
I think I will use this, pay an advance and then wait for your full guidance to be released and run a mass correction when it's all ready to do that.
Hi @Neil Sebba
The new fields to the furlough page were released this morning, we need to update the pay averages which will be today/tomorrow. However, the bulk update and exports will not be available until after the Easter break (specific date TBC). I think it would be sensible to run with estimates. If you run the holiday custom report that is detailed in the 52 week holiday calculation release note, it will give you the average hours and daily rate for flexible employees which can be used.
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