Sep 2022
28
Budget 2023 - An employer focus
On 27th of September 2022, Minister for Finance, Paschal Donohoe, and Minister for Public Expenditure and Reform, Michael McGrath, presented the 2023 budget. Minister McGrath called the budget a “Cost of Living Budget”, and said it was focused on helping individuals, families and businesses deal with rising prices.
Below, we've listed some of the measures from the budget which will most affect employers.
Income Tax
There are no change to tax rates for 2023, the standard rate will remain at 20% and the higher rate at 40%.
• The Standard Rate Cut Off Point (SRCOP) has been increased by €3,200 from €36,800 to €40,000
• The Personal Tax Credit increased by €75 from €1,700 to €1,775
• The Employee Tax Credit increased by €75 from €1,700 to €1,775
• The Earned Income Credit increased by €75 from €1,700 to €1,775
• The Home Carer’s Tax Credit will increase by €100
Universal Social Charge (USC)
• Exemption threshold remains at €13,000
• There are no changes to the rates of USC
• The 2% USC rate band has increased by €1,625, from €21,295 to €22,920
USC Rates & Bands 2023
• €0 – €12,012 @ 0.5%
• €12,013 – €22,920@ 2%
• €22,921 – €70,044 @ 4.5%
• €70,045 + @ 8%
Medical card holders and individuals aged 70 years and older whose aggregate income does not exceed €60,000 will continue to pay a maximum rate of 2%.
The emergency rate of USC remains at 8%.
Non-PAYE income in excess of €100,000 will continue to be subject to USC at 11%.
Rent Tax Credit
Any taxpayer that are renting a property and are not receiving housing supports will qualify for a rent tax credit of €500 per annum. In the case of married couples or civil partners this credit will be doubled. This will come into effect in 2023 but can be claimed for rent paid in 2022 in early 2023.
Tax Relief for Remote Workers
The tax relief for remote workers remains unchanged at claiming relief of to 30% of the cost of vouched expenses for heat, electricity and broadband in respect of those days spent working from home.
Small Benefit Exemption
The Small Benefit Exemption has been increased from €500 to €1,000, with employers permitted to give employees two vouchers per year, as opposed to one voucher which was permitted to date. This applies for 2022 and years following.
ASC
There are no changes to the ASC rates for 2023.
National Minimum Wage
The National Minimum Wage will increase by 80 cent from €10.50 to €11.30 per hour from 1st January 2023.
Pay Related Social Insurance (PRSI)
Due to the increase in the minimum wage on 1st January 2023 the upper threshold for paying the 8.8% Class A rate of employer PRSI is being increased from €410 to €441 from the 1st January 2023. There is no change to the PRSI credit.
VAT
The reduced rate of 9% VAT for the tourism and hospitality sector and electricity and gas bills will continue to apply until the 28th February 2023. 0% rate of Vat is introduced in respect of newspapers and news periodicals, including digital editions, defibrillators, hormone replacement and nicotine replacement therapies, and certain period products from 1st January 2023.
Social Welfare Payments
There will be a €12 increase to core weekly Social Welfare payments with effect from January 2023. The maximum personal rate of Illness Benefit will be increased to € per week. Maternity/Paternity/Adoptive /Parent’s Benefit will increase to €262 per week from 1st January 2023.
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- BrightPay Customer Update: October 2022
- Employee paid sick leave: What you need to know
Aug 2022
12
5 ways client dashboards benefit hybrid-working models
Did you know that four out of five people no longer want to work in the office five days a week? Hybrid working models have gained huge popularity over the past two years, with many companies now looking for more long-term hybrid working solutions.
This new way of working changes your clients' days-to-day operations, including tasks related to payroll and HR. As a bureau, you can offer your clients access to technology that can help streamline payroll and HR processes, as they and their employees work remotely.
From online security to employee communications, it can be difficult to know where to start and which payroll software to choose. BrightPay Connect, the cloud-extension of BrightPay, offers a client dashboard, which can be a powerful tool in the payroll mix, helping you stand out from competitors when it comes to your service offering. Here are five key ways client dashboards can support and enhance your clients’ hybrid working models.
1. Gives clients’ more control over their payroll
Sending payroll data back and forth to clients can be both frustrating and time-consuming, between tiresome phone calls and never-ending email threads. That’s why client dashboards allow you to send payroll information seamlessly to your clients, which they can then approve. The client also has the option to enter any payroll information for that period, such as adding additions or deductions to employees’ pay, or new starter details. Once the person who processes the payroll is happy with the payroll information, they can then approve it, and it will flow directly back to the payroll software.
Clients can also access their dashboard from anywhere at any time, with multi-user access. This means that multiple users in the company can access the client dashboard, whether they work in the office or remotely. This saves you time, while also giving your clients more control of their payroll, allowing them to have the final say, before payslips are distributed.
2. Increases your clients’ online security
When you’re processing payroll, you’re dealing with important financial and personal data. If your computer was to be stolen or hacked by ransomware, your bureau could be liable for breaching data protection regulations. This can result in costly fines that could potentially damage client relationships, and the reputation of your practice.
Client dashboards increase your GDPR compliance by giving clients more control over their data. This means that any sensitive information, such as reports or payslips, no longer have to be sent by email, reducing the likelihood of a data breach occurring. This also allows employees to access their payslip history themselves via the employee app, eliminating the need for clients to locate and send sensitive files to staff via email. Having the ability to automatically backup your payroll data to the cloud, improves clients’ online security even further.
3. Sharing documents online made easy
When your clients are sharing important HR documents with their employees, such as contracts of employment, or sharing reports with senior management, there’s a chance of these documents getting lost – or worse – getting sent to the wrong person.
Having all of these documents in one centralised hub makes it easy to share documents with multiple employees at the same time, no matter if they’re located in the office or working remotely. It also reduces the likelihood of unauthorised people accessing them. Customising access to specific documents, as well as viewing who has and who hasn’t read each document, is all available through the client dashboard. This streamlines many HR processes for clients, as well as supporting their long-term hybrid working models.
4. Gives clients’ employees a more interactive online working experience
When using the employee app, employees have a much more immersive and interactive online working experience. Between accessing their payslips, reading important documents and updating personal details (i.e. address and contact details) at the tap of a button. It also reduces your clients’ admin work and paper road in the long run.
5. Makes annual leave a breeze for both clients and employees
Whether your client has 10 or 10,000 employees, managing annual leave can be overwhelming, especially coming into the summer months. Having an online, user-friendly tool for annual leave is the key to building a sustainable hybrid working model. BrightPay Connect’s client dashboard gives your clients the ability to view all of their employees’ annual leave through an easy-to-use calendar format where they can simply approve/deny these requests. Employees can also benefit with the ability to submit annual leave requests on the go through the employee app.
Visit the BrightPay Connect client hub which contains information on the benefits of BrightPay Connect. The page can be sent to clients as a way of educating them on BrightPay Connect, as well as giving them helpful information on how to get started using the online platform.
Interested in learning more about BrightPay Connect? Why not sign up for a free 15-minute demo. Our software is award-wining, having recently won ‘Payroll and HR Software of the Year 2021’, with over 350,000 businesses across Ireland and the UK using our products. We send emails on a regular basis, keeping bureaus just like yours up to date on all the latest payroll news, trends and changes. Sign up for our newsletter here.
Oct 2021
11
What to include on a hybrid working policy
Since the further easing of pandemic restrictions on September 20th, 2021, employees who have previously been working remotely have been returning to their workplaces on a phased and staggered basis. On October 22nd, 2021, almost all COVID-19 restrictions are to be lifted and employees will no longer be required to work from home. To allow for the safe return of employees, businesses must ensure they follow government guidance and have the appropriate systems in place.
While it is great to now have the option of returning to the office, it doesn’t necessarily mean that everyone will want to, not on a full-time basis at least. Experiencing the longer lie-ins, no commute, and an overall better work-life balance, employers and employees alike have enjoyed the benefits of remote working. However, each employee is different and along with the benefits of working from home comes challenges such as employees feeling isolated and unmotivated. Phase II of the Remote Working during COVID-19 National Survey conducted in Ireland in October 2020 found that 94% of respondents would like to work remotely for at least part of their working week. Because of this, many businesses have adopted a hybrid working model, with many more set to do so in the coming months.
What is hybrid working and do employees have the right to request it?
In Ireland, hybrid working falls under remote working and may sometimes be referred to as e-working or flexible working. A hybrid working model is when an employee works part of their time in the workplace provided by their employer and part of their time from home or anywhere else other than the normal place of work. In Ireland, employees have the right to request that they work this way. However, currently there is no legal framework around how such a request should be made and how it should be handled by employers. The legislation giving employees the right to request remote working is expected to be published at the end of the year.
As an employer, you may already have experience with employees working from home and the advantages it can bring. You also may have already decided that you would like to adopt a hybrid working model into your workplace. If this is the case, a Hybrid Working Policy document should be created so that all staff are aware of how the new arrangement will operate.
What information should be included in a Hybrid Working Policy?
The rules and limitations surrounding the company’s hybrid working policy should be clearly outlined in the Hybrid Working Policy, including:
- Are there any roles within the company which may not be suitable for remote working
- Will employees need to follow a hybrid working schedule
- Are there certain tasks which you, as an employer, would prefer to be taken care of in the office rather than at home (or vice versa)
- While working remotely, is the employee allowed to work anywhere or are there limitations. Examples of this may be that the employee must stay in the country or cannot work in public settings due to cybersecurity concerns
- What hours should an employee be working. Are there set working hours, when should they take breaks and what is the maximum number of hours they should be working each day
The policy should include details of how staff will be managed and supported as they work from separate locations, including:
- How should employees communicate with managers and colleagues and what should be done to ensure effective and fair communication
- How should new staff be onboarded
- How will employees’ performance will be managed
- How will employees’ health, safety and wellbeing be maintained
Guidelines for remote working should be clearly defined, including:
- What equipment is suitable for remote working and how will the equipment be provided
- What are the insurance requirements for the employer and the employee
- Details of a home risk assessment
- How cyber security will be maintained
How should a Hybrid Working Policy be shared with employees?
Once you have put together a Hybrid Working Policy, what is the best way to share it with employees? When sharing the policy with employees, you may want to share it with all or multiple employees at the same time. As employees may be working from different locations, it’s likely not possible to physically hand out the document to each employee.
You could email the policy to employees. However, emails are not always an effective way of getting your employees' attention. In a 2019 survey, 34% of respondents said that they sometimes ignore HR emails from their employer, while 5.7% even said that they always ignore HR emails. The reason for this may be that employees are simply overwhelmed by the number of emails they receive at work.
A better way of getting employees to read your new Hybrid Working Policy is by sharing it with them through an app on their smartphones. BrightPay Connect is a cloud add-on to BrightPay payroll software which includes an employee app which can be used to take care of a number of HR tasks. With BrightPay Connect, employers will have access to their own employer dashboard from where they can upload employee documents to be shared with employees through the employee app. Employers can share documents with individual employees, multiple employees or all employees if they wish to do so. This means employees can easily access all their documents in one place, be it their individual contract of employment or company-wide documents. Since the documents are available on the employees' phones, it also means they can be accessed anytime, anywhere.
When a document is shared with employees this way, each employee will receive a push notification on their mobile to notify them that the document has become available for them to view. With push notifications, because users can instantly read the alert on their device, they are less likely to ignore it like they may do with an email. Furthermore, employers can track who has and who has not read each document and so you can give them a nudge if needs be.
Reviewing and updating your Hybrid Working Policy
As hybrid working is still a relatively new concept for many employers, the policy should be reviewed regularly. Employers may want to make changes to the policy as the needs of the business and employees change. The updated policy can be quickly reshared on BrightPay Connect, and employees are once again alerted to it by push notification.
As well as sharing documents, you can also easily share payslips with employees using BrightPay Connect. Other HR functions of BrightPay Connect which are done using the employee app are annual leave management and updating employee information. To learn more about the many benefits of BrightPay Connect and how they can improve your business and ease the transition to hybrid working, book a free online demo today.
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