Payroll Changes: What You Need To Know

Have you heard about these upcoming payroll changes?

Tips & Gratuity

Tips and Gratuity are changing on 1 October 2024. This applies to all businesses allocating and paying tips, gratuities and services charges. The changes are to make sure that the tips are allocated in a fair way and includes employer received through card payments and cash tips.

Currently employers can deduct an admin charge before sharing the tips between the staff. This will cease on the 30 September 2024. From 1 October 2024 all tips must be shared equally. Using a TRONC Scheme will not need to change as this is already compliant with the changes coming.

Payrolling Benefits

Payrolling Benefits (PBIK) are voluntary but from the 2026 tax year it will become mandatory, replacing the submission of P11D’s. Currently you need to apply by 10am on 5 April to register each of your PBIK for the coming tax year. Whitings Payroll Bureau will be highlighting how this could affect your business and help advise how to complete this over the coming months.

Holiday Pay

Holiday pay, even though the changes, including rolled up holiday pay came in April 2024, it only applies to you from the start of your holiday year. If you annual leave runs from January to December you legally can not use the rolled up holiday pay calculations until January 2025. If you are still unclear about your Holiday Entitlement and pay calculations please let us know as we are here to help.

Get In Touch

For more information or advice on how Whitings Payroll Bureau can help you, contact your local Whitings LLP office today.

Disclaimer - All information in this post was correct at time of writing.