Question asked by Clare Jenkins 10 years ago
Hi
Clearbooks won't generate an amount for Employee NICs. The employee salary exceeds the LEL so an amount should be charged. Any ideas what I may have missed in the set up which is preventing it from calculating the relevant figure?
Thanks
Dividends are paid to shareholders, not directors so on that front in makes no difference.
The only thing it will do though is, if you're using the new dividend tool, mean that particular director isn't available in the authorising director dropdown for use within the paperwork. I guess the only way around that would be to set a separate director (supplier) up for that particular purpose.
Hope that makes sense. Most payroll software gives the option to calculate director NI either way but CB doesn't from what I can see leaving the above workaround as the only way to achieve it.
Best answerSalary must exceed the PT of £155pw for NI to fall payable. Between the LEL of £112 and PT of £155 employees pay no NI but still receive the 'benefit of paying'.
Does that help?
Thanks for the reply but sadly not. The salary exceeds the weekly PT too, not by a lot but NIC should be £3.40 and Clearbooks has a 0.
Do you have the correct NI letter for the employee?
Or is the employee a director perhaps?
I do have the correct NI letter but the employee is a Director. Why would that make a difference?
Ni is calculated annually instead of per pay period.
Ahh! Thank you so much.
Bit of a pain though. We currently use Accountants with their own software and I want to replicate their transactions with a view to no longer requiring their services in a few months once I'm totally comfortable with how it all works. Is there no way to manually override this?
Just set them as an employee instead of a director.
Will that mean they can't receive dividends though?
Dividends are paid to shareholders, not directors so on that front in makes no difference.
The only thing it will do though is, if you're using the new dividend tool, mean that particular director isn't available in the authorising director dropdown for use within the paperwork. I guess the only way around that would be to set a separate director (supplier) up for that particular purpose.
Hope that makes sense. Most payroll software gives the option to calculate director NI either way but CB doesn't from what I can see leaving the above workaround as the only way to achieve it.
Best answer
You must 