Trial Employment

SUGGESTED

We have recently taken on 2 employees on a few trial hours, one for 3 hours and one for 10.  Neither have been taken on.  My question is, do I need to put them through the PAYE system?

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  • SUGGESTED

    Hi Janet, 

    Thank you for using Sage City. 

    The answer depends on whether you are paying the employees for their trial hours, if the answer is Yes, you will need to add them as employees and fill out their details in full so the information can be sent to HMRC.

    If you are not paying them you have two options, you can leave them off until they are full employees and will be earning a wage then add them to your payroll or you can add them at this point so they show in the relevant pay run, you can then choose to Exclude them from the pay run by choosing their name on the left side during the Edit Pay portion of the payrun and ticking the box at the bottom of the page under their deductions section.

    If this has answered your question, please click Verify Answer.

    Regards, 

    David Bulman

    Sage UKI

  • Please can I just add that ALL individuals must be paid on the scheduled payroll that includes those dates worked for you. HMRC have just done an investigation with one of our clients and she admitted she didn't pay them for the "trial shifts" at the time of the payroll that was due for other employees working on those dates. HMRC have made her put the staff onto the payroll and pay them for the hours worked whilst training and also the holiday pay accrued as a percentage. She has also had to pay a hefty penalty. HMRC say that the the individuals are also not covered by the employers insurance if anything happens to them and the employer would be at fault. They can also check that you are paying minimum rate or above for their trial shifts.

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  • Please can I just add that ALL individuals must be paid on the scheduled payroll that includes those dates worked for you. HMRC have just done an investigation with one of our clients and she admitted she didn't pay them for the "trial shifts" at the time of the payroll that was due for other employees working on those dates. HMRC have made her put the staff onto the payroll and pay them for the hours worked whilst training and also the holiday pay accrued as a percentage. She has also had to pay a hefty penalty. HMRC say that the the individuals are also not covered by the employers insurance if anything happens to them and the employer would be at fault. They can also check that you are paying minimum rate or above for their trial shifts.

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