{"id":244,"date":"2012-09-21T13:12:07","date_gmt":"2012-09-21T12:12:07","guid":{"rendered":"http:\/\/www.goodmanjones.com\/blog\/?p=244"},"modified":"2019-12-16T14:21:44","modified_gmt":"2019-12-16T14:21:44","slug":"rti-another-nightmare-for-the-employer","status":"publish","type":"post","link":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/","title":{"rendered":"RTI – another nightmare for the Employer?"},"content":{"rendered":"

For UK employers, Real Time Information (RTI)<\/strong> represents a significant change to the way payroll deductions, including PAYE and national insurance (NI), are being reported to HM Revenue & Customs (HMRC).<\/p>\n

The current system has not changed since the 1940s when employees rarely moved jobs and only had one main source of employment.\u00a0 Fast forward to the present day, the work place is very different with increasing job mobility and a greater casual labour work-force.<\/p>\n

HMRC argue that the current system of reporting payroll deductions six weeks after the end of the tax year, through the submission of end of year P35 and P14 forms, is no longer fit for purpose and they\u2019re probably right.<\/p>\n

Under RTI, employers will be informing HMRC of tax, national insurance, pension and other deductions on or before an employee is actually paid.<\/p>\n

HMRC claim that over time the benefit of receiving this information sooner will enable the right amount of tax and NI to be collected from individuals and will remove the need for time consuming end of year reconciliations. In addition, the administrative burden of preparing and submitting the end of year forms P35 and P14 will no longer be required.<\/p>\n

Furthermore, RTI’s introduction also supports the “universal credit” benefits initiated by the Department of Work and Pensions, which is due to commence in October 2013.\u00a0 This will ensure that claimants receive the correct amounts and on a timely basis.<\/p>\n

Although HMRC state that RTI will mean cost savings to employers, the cynics will point out that RTI\u2019s main objective is to improve HMRC’s own cash flow and by knowing exactly how much tax and NI is due to them each time a payroll report is run, HMRC can immediately start issuing demands following non-payment.<\/p>\n

For all employers, RTI will mean an upgrade to their present payroll software and a \u201cdata cleansing exercise\u201d to ensure that employee information, including full names, dates of birth and national insurance numbers, are accurate and match the records held by HMRC -HMRC have commented on the large number of inaccurate employee details held by employers who joined their RTI pilot. This will represent yet another cost and administrative burden on the poor employer.<\/p>\n

There are also some significant difficulties in operating RTI under the current guidelines.\u00a0 For example, are payroll staff expected to work weekends to ensure an RTI submission can be made before casual bar staff working on a Saturday night can be paid?\u00a0 We wait with bated breath for some practical guidance to be issued over the coming months.<\/p>\n

Interesting, the UK is one of the first of the OECD countries to implement a Real Time reporting process with the other members looking on with intrigue to see how it all unfolds.<\/p>\n

One thing that is certain, is that employers should start the process of planning now.<\/p>\n

HMRC are intending that most employers will join RTI by April 2013<\/strong> and by October 2013 all employers<\/strong> will be operating their PAYE system under RTI.<\/p>\n

If you have any further questions regarding RTI or need further clarification as to what is required please contact a member of the Goodman Jones\u00a0 payroll department or e-mail paye@goodmanjones.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

For UK employers, Real Time Information (RTI) represents a significant change to the way payroll deductions, including PAYE and national insurance (NI), are being reported to HM Revenue & Customs (HMRC). The current system has not changed since the 1940s when employees rarely moved jobs and only had one main source of employment.\u00a0 Fast forward[…] <\/p>\n

Read More<\/a><\/div>\n","protected":false},"author":17,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[884,16],"tags":[187,68,185,186],"class_list":["post-244","post","type-post","status-publish","format-standard","hentry","category-business-tax","category-tax","tag-employers","tag-hmrc","tag-payroll","tag-rti"],"acf":[],"yoast_head":"\nRTI - another nightmare for the Employer?<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RTI - another nightmare for the Employer?\" \/>\n<meta property=\"og:description\" content=\"For UK employers, Real Time Information (RTI) represents a significant change to the way payroll deductions, including PAYE and national insurance (NI), are being reported to HM Revenue & Customs (HMRC). The current system has not changed since the 1940s when employees rarely moved jobs and only had one main source of employment.\u00a0 Fast forward[...] Read More\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/\" \/>\n<meta property=\"og:site_name\" content=\"London Chartered Accountants Blog | Goodman Jones London Accountants\" \/>\n<meta property=\"article:published_time\" content=\"2012-09-21T12:12:07+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-12-16T14:21:44+00:00\" \/>\n<meta name=\"author\" content=\"Amit Sharma - Partner\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@GoodmanJones\" \/>\n<meta name=\"twitter:site\" content=\"@GoodmanJones\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Amit Sharma - Partner\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/\"},\"author\":{\"name\":\"Amit Sharma - Partner\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#\\\/schema\\\/person\\\/4ea1df1e851e9cd6ca95c49797721831\"},\"headline\":\"RTI – another nightmare for the Employer?\",\"datePublished\":\"2012-09-21T12:12:07+00:00\",\"dateModified\":\"2019-12-16T14:21:44+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/\"},\"wordCount\":538,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#organization\"},\"keywords\":[\"employers\",\"hmrc\",\"payroll\",\"rti\"],\"articleSection\":[\"Business Tax\",\"Tax\"],\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/\",\"url\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/\",\"name\":\"RTI - another nightmare for the Employer?\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#website\"},\"datePublished\":\"2012-09-21T12:12:07+00:00\",\"dateModified\":\"2019-12-16T14:21:44+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/rti-another-nightmare-for-the-employer\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"RTI – another nightmare for the Employer?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#website\",\"url\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/\",\"name\":\"London Chartered Accountants Blog | Goodman Jones London Accountants\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#organization\",\"name\":\"Goodman Jones LLP\",\"url\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/wp-content\\\/uploads\\\/2015\\\/10\\\/150528_Goodman-Jones__Full-Lockup_CMYK.jpg\",\"contentUrl\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/wp-content\\\/uploads\\\/2015\\\/10\\\/150528_Goodman-Jones__Full-Lockup_CMYK.jpg\",\"width\":2970,\"height\":482,\"caption\":\"Goodman Jones LLP\"},\"image\":{\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#\\\/schema\\\/logo\\\/image\\\/\"},\"sameAs\":[\"https:\\\/\\\/x.com\\\/GoodmanJones\",\"https:\\\/\\\/www.linkedin.com\\\/company\\\/goodman-jones\\\/\",\"http:\\\/\\\/www.youtube.com\\\/user\\\/GoodmanJonesLLP\"]},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/#\\\/schema\\\/person\\\/4ea1df1e851e9cd6ca95c49797721831\",\"name\":\"Amit Sharma - Partner\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g\",\"caption\":\"Amit Sharma - Partner\"},\"description\":\"T +44 (0)20 7874 8831\",\"url\":\"https:\\\/\\\/www.goodmanjones.com\\\/blog\\\/author\\\/amit-sharmagoodmanjones-com\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"RTI - another nightmare for the Employer?","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/","og_locale":"en_GB","og_type":"article","og_title":"RTI - another nightmare for the Employer?","og_description":"For UK employers, Real Time Information (RTI) represents a significant change to the way payroll deductions, including PAYE and national insurance (NI), are being reported to HM Revenue & Customs (HMRC). The current system has not changed since the 1940s when employees rarely moved jobs and only had one main source of employment.\u00a0 Fast forward[...] Read More","og_url":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/","og_site_name":"London Chartered Accountants Blog | Goodman Jones London Accountants","article_published_time":"2012-09-21T12:12:07+00:00","article_modified_time":"2019-12-16T14:21:44+00:00","author":"Amit Sharma - Partner","twitter_card":"summary_large_image","twitter_creator":"@GoodmanJones","twitter_site":"@GoodmanJones","twitter_misc":{"Written by":"Amit Sharma - Partner","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/#article","isPartOf":{"@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/"},"author":{"name":"Amit Sharma - Partner","@id":"https:\/\/www.goodmanjones.com\/blog\/#\/schema\/person\/4ea1df1e851e9cd6ca95c49797721831"},"headline":"RTI – another nightmare for the Employer?","datePublished":"2012-09-21T12:12:07+00:00","dateModified":"2019-12-16T14:21:44+00:00","mainEntityOfPage":{"@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/"},"wordCount":538,"commentCount":0,"publisher":{"@id":"https:\/\/www.goodmanjones.com\/blog\/#organization"},"keywords":["employers","hmrc","payroll","rti"],"articleSection":["Business Tax","Tax"],"inLanguage":"en-GB","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/","url":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/","name":"RTI - another nightmare for the Employer?","isPartOf":{"@id":"https:\/\/www.goodmanjones.com\/blog\/#website"},"datePublished":"2012-09-21T12:12:07+00:00","dateModified":"2019-12-16T14:21:44+00:00","breadcrumb":{"@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.goodmanjones.com\/blog\/rti-another-nightmare-for-the-employer\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.goodmanjones.com\/blog\/"},{"@type":"ListItem","position":2,"name":"RTI – another nightmare for the Employer?"}]},{"@type":"WebSite","@id":"https:\/\/www.goodmanjones.com\/blog\/#website","url":"https:\/\/www.goodmanjones.com\/blog\/","name":"London Chartered Accountants Blog | Goodman Jones London Accountants","description":"","publisher":{"@id":"https:\/\/www.goodmanjones.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.goodmanjones.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-GB"},{"@type":"Organization","@id":"https:\/\/www.goodmanjones.com\/blog\/#organization","name":"Goodman Jones LLP","url":"https:\/\/www.goodmanjones.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/www.goodmanjones.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.goodmanjones.com\/blog\/wp-content\/uploads\/2015\/10\/150528_Goodman-Jones__Full-Lockup_CMYK.jpg","contentUrl":"https:\/\/www.goodmanjones.com\/blog\/wp-content\/uploads\/2015\/10\/150528_Goodman-Jones__Full-Lockup_CMYK.jpg","width":2970,"height":482,"caption":"Goodman Jones LLP"},"image":{"@id":"https:\/\/www.goodmanjones.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/x.com\/GoodmanJones","https:\/\/www.linkedin.com\/company\/goodman-jones\/","http:\/\/www.youtube.com\/user\/GoodmanJonesLLP"]},{"@type":"Person","@id":"https:\/\/www.goodmanjones.com\/blog\/#\/schema\/person\/4ea1df1e851e9cd6ca95c49797721831","name":"Amit Sharma - Partner","image":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/secure.gravatar.com\/avatar\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/0c9964fa71519b58a836cd2b680b04939a319b7a3e43d03138b000d483cc9e25?s=96&d=https%3A%2F%2Fwww.goodmanjones.com%2Fblog%2Fwp-content%2Fthemes%2Ftwentytwelve%2Fimages%2Favatar.jpg&r=g","caption":"Amit Sharma - Partner"},"description":"T +44 (0)20 7874 8831","url":"https:\/\/www.goodmanjones.com\/blog\/author\/amit-sharmagoodmanjones-com\/"}]}},"_links":{"self":[{"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/posts\/244","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/comments?post=244"}],"version-history":[{"count":3,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/posts\/244\/revisions"}],"predecessor-version":[{"id":2969,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/posts\/244\/revisions\/2969"}],"wp:attachment":[{"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/media?parent=244"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/categories?post=244"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.goodmanjones.com\/blog\/wp-json\/wp\/v2\/tags?post=244"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}