Payroll Year End 2022

Sage have confirmed that they anticipate that the update for Sage 50cloud Payroll Bureau will be available soon. You will be notified via email and also in the Advice Centre when you access your Sage 50 software, so keep an eye out for these notifications.

Here are some steps for you to take to prepare for your payroll year end.

Step 1 – Make sure you have Sage 50cloud Payroll v28 installed

Version 28 includes changes to legislation so it’s important that you are using the right version.

Step 2 – Does week 53 apply to you? 

If you pay your employees monthly then this won’t apply to you. Week 53 will only apply to you if your pay date is Tuesday 5th April 2022 for your weekly or, two weekly or four weekly payroll.

Process and update your final pay period for 2021/22 this includes processing any leavers who leave your company before 5th April 2022. On the date your employees receive their pay, send your FPS (full payment submissions) as usual.

Step 3 – Process your year end

Go to the Payroll navigation bar and click on ‘Change Process Date’, then enter 05/04/2022 then select Ok. You then need to choose your tax year to begin your year end process. Go to Payroll Year End and then Choose Tax Year, then click Yes to include all employees. Make sure that the tax year is set to 2021/2022 and the ‘Check Reports Date’ is 05/04/2022 and press OK.

The Internet Submission should be submitted no later than 19th April 2022 and employees must receive their P60’s by 31st May 2022.

Step 4 – Be ready for the new tax year

Make sure you have installed the new update and your employees tax codes are correct. 

The personal allowance is remaining the same this year at £12,570, tax code 1257L, so they may not need to be updated. You will need to remove the week1/month 1 flag on any employees tax codes before you start the new tax year.

Are you eligible to claim for small employers relief? If so then you need to make sure your software is set up to calculate it in order to claim it. To do this click Company and then select settings. Tick the Eligible for small employers relief box and press OK.

Check if you’re eligible for employment allowance to help reduce your annual employers national insurance liability.

Now you’re ready for the next tax year!

Dates to be aware of

  1. 5 April: Last day of the 2021/22 tax year.
  2. 6 April: First day of the 2022/23 tax year.
  3. 19 April: Deadline for Payroll Year End submissions for the 2021/22 tax year.
  4. 31 May: Staff who are employed by you on 5 April 2022 must receive their P60s.

If you need any support with your Sage 50 payroll software then please get in touch.

05/04/2022

“Any advice relating to accounts or tax should be sought from your tax accountant. Sage Accounts Solutions Limited will not be held responsible for any loss or damage caused as a result of the information contained herein.”

Share this...

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.