Julie Smith
3 minutes length
Posted: 27th June 2014

Can a smartphone help your cheques to clear faster?

It will soon be much easier to pay cheques into your bank account thanks to a new smartphone app, which will allow users to take a photo of cheques on a smartphone and then send electronically to banks for payment. 

 

Cheques still account for around 10% of all payments by individuals but many get lost or damaged before they reach the bank. Barclays, who have run a pilot of the new scheme, claims that currently around £300million paper cheques are not paid in each year.  

The new technology will also mean faster clearing of payments – funds will be available in just 2 days instead of 6.  This is just another way of how smartphone technology (and 50% of adults are now thought to have smartphones) is eliminating traditional paper processes.

Workers can also now get payslips directly to their smartphone with IRIS OpenPayslips, which has apps available for Apple, Windows and Google devices. Launched in May 2013, it is already used by around 50,000 employees to easily access their pay information.  

Paper payslips, as with cheques, can easily get lost and damaged and smartphone technology is helping to remove this problem.

Click here for a 30 day free trial of IRIS OpenPayslips.

If you provide any taxable benefits to employees then you must submit to HMRC a P11D form (or P9 for employees earning less than £8,500 per year) for each employee receiving benefits.  You must also submit one additional form, P11D (b), to declare the overall amount of Class 1A National Insurance contributions (NICs) due on all the expenses and benefits you’ve provided.
Examples of taxable benefits include:
Private medical insurance
Company cars
Gym membership
You must also provide a P11D form to each of your employees which details the benefits they have received over the year and tax due.
Time is of the essence!
The deadline for submissions is 6th July 2014 and payment of Class 1A NICs should reach HMRC by 22nd July.  The HMRC will impose fines for late submissions – currently £100 per 50 employees for each month or part month that a return remains outstanding.  
Submitting returns
Many companies ignore their P11Ds as they are unsure what to do and how to go about working out the tax that is due for each employee but with the fines mentioned above you could end up with a nasty surprise by not staying on top of this once a year task.
The fastest, easiest and most secure way to submit your returns is electronically.  Quality of returns is extremely important to ensure they are not rejected by HMRC.  Using a specially designed software such as IRIS P11D Organiser will ensure that the often complex calculations are performed correctly and that the returns contain accurate information so are accepted first time.   Things get even easier after year one as benefits can be rolled forward and items inputted throughout the year as necessary (preventing the last minute rush!)
Click here for more information on IRIS P11D Organiser. To arrange a free online demonstration please call the IRIS team on 0344 815 5677.