1 day£484 +VAT
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Understand the essentials of the UK tax and NI system

This training course will equip you with the skills required to understand how tax and National Insurance are calculated and complete a manual payroll calculation from gross pay to net pay. With a focus on core payroll skills, and featuring manual calculations, you will quickly learn how to produce a payslip with confidence.

The course can be taken as a stand-alone course and forms part of our highly successful 3-day Payroll Techniques course which can lead towards a Pearson BTEC Award Level 3 in Payroll Techniques.

Courses Overview

Duration: 1 day Price: £484+VAT CPD: 6 hours (certificated)

Who will it benefit?

This payroll training course is ideal if you work in payroll or HR and have little or no experience of current UK payroll practice.

It would be especially useful if you are new to the role, returning after a break or just providing absence cover. Alternatively, you may be competent in using a computerised payroll but lack manual experience to be able to manage and understand how Tax and National Insurance is being calculated.

What you'll achieve?

By the end of the course you will have a good understanding of UK Tax and National Insurance calculation and deduction for your employees, understand tax codes and NI table letters and how to deal with starters and leavers.

Using examples and simple tests during the day you will understand how to build up deductions and how to complete a simple payslip.

Course content

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Tax and Tax Calculation

  • Rates thresholds for tax
  • Personal allowances
  • The effect on tax when employees are paid weekly, fortnightly, four-weekly and monthly and how to use the tax calendar correctly
  • What a tax code is and how it is derived
  • The difference between a cumulative and non-cumulative basis (week1/month1)
  • How HMRC notifies tax code changes
  • How to calculate the pay adjustment
  • How to calculate tax

National Insurance and NI Calculation

  • Importance of NI numbers
  • What an NI table letter is, how it is derived and its impact on the calculation of NIC
  • NI rates and thresholds
  • The effect on NI when employees are paid weekly, fortnightly, four-weekly and monthly
  • NI for employees
    • Not yet 16
    • Under 21
    • Apprentices under 25
    • Over state pension age
  • How to calculate NI using the exact percentage and comparing to HMRC table methods

Starters and Leavers

  • Dealing with starters and leavers
  • P45s
  • Starter Declarations

Calculations and Payslips

  • Step-by-step calculations of tax and NI with examples and exercises
  • Preparation of a manual payroll calculation with tutor assistance
  • The makeup of a payslip
    • What has to be entered in order to meet legal requirements

"When setting up a Shared Service Centre, The Learn Centre played a key role in our award winning Payroll Academy, delivering a blended learning experience combining both classroom based training and an e-learning solution. The course delivery, the training materials and overall learning experience was excellent."

Michael Stevenson
Payroll Manager at Queen's University Belfast

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1 day£484+VAT
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