Back in October we promised that the introduction of Real Time Information for payroll would be a painless experience for Crunch clients. Where other accountancy firms are releasing costly add-on packs and hasty workarounds, Crunch’s RTI solution would be seamless and included in our regular subscription fee – hooray!
Since October we’ve been working hard to ensure we keep that promise, and soon we’ll be rolling out the first of a number of changes that will make sure Crunch is 100% RTI-compliant come April 6th.
So what is changing?
Pay Yourself Assistant waves goodbye
The biggest change from our users’ perspective will be that the Pay Yourself Assistant is being put out to pasture, to be replaced with a consolidated payroll area where both Director and Employee payroll can be managed.
This new payroll area will still automatically calculate a Directors’ optimum salary and will also feature several new, handy features. After April 6th, for example, clients will be able to automate monthly payroll runs (so you needn’t manually pay yourself and your staff every month).
This area will also handle all RTI filings in the background once we flip the switch on April 6th, so the necessary information will be transmitted to HMRC when each payroll run is performed.
Past salaries will be uneditable
As with other areas of the Crunch system (VAT returns, for example), once information has been filed with HMRC it will become uneditable in Crunch to ensure our records are identical to HMRC’s. Before RTI’s launch payroll information is only filed with HMRC once a year, so salary and dividend data can be edited up to the point of filing. However with filing taking place in real time, retrospective editing becomes a no-no!
From April 6th the Director Salary list will essentially become an archive of salaries recorded in the past, and all new payroll runs will be locked for editing once complete. If HMRC has the information, we have to make sure our records are the same, or it’ll spell trouble further down the line.
No more recording payroll retrospectively
One of the key features of RTI is that submissions to HMRC must be made “on or before” each payday. As our new system will file whenever a payroll run is processed in Crunch, clients will no longer be able to select dates in the past.
Payslips are getting a makeover
Do I have to do anything?
Once we’ve rolled out the user-facing changes (of which the above constitutes the vast majority) all clients will need to do once we flip the big RTI switch on April 6th is set up a recurring payroll run – we’ll explain exactly how to do this in April (don’t worry, it’s not complicated). Once this has been done our RTI system will run completely in the background – clients shouldn’t notice any changes.
Any questions? We know RTI is a bit of a confusing subject, so ask away in the comments and we’ll do our best to answer.