To Add an Off-Payroll Worker

Important: You cannot create records in the Payroll application in advance of the first pay period. When you create a new record , you must do so in the first pay period that you will pay them. However, if you use the Personnel application, you can create records in advance of their first pay period as 'Personnel Only' records. These records are not included in Payroll calculations until the records are completed on the Payroll - Processing form.

The Allow Off-Payroll Workers option on the Set Options form must be selected before off-payroll workers can be recorded.

A new off-payroll worker is assigned 'Start Declaration C' status for the P45, and their tax code is set to 'BR Cumulative'.

  1. Open the Payroll folder and then click Processing or click the Payroll & HR tab on the Ribbon Bar and then click Payroll - Processing.

  2. If you are using groups, in the Select Payroll Groups list, click to select the group(s) you want to process and then click OK.

  3. To create a new record, click the icon on the toolbar or press CTRL+N.

  4. In Employee Ref, type a unique code to identify the off-payroll worker. If someone who previously worked for you returns to work, do not use the same reference as before. Always use a new reference. In the boxes provided, enter the off-payroll worker details.

  5. Update the Details and Bank form, enter their bank details, home address (not business address) and complete the other details. On the Additional Information tab, select the Off-Payroll Worker option. Click OK to open the To-Date form.

  6. On the To-Date form:

    1. Update the boxes under Starter Details.

    2. Update the Gross Pay and Tax Paid boxes under Pay & Tax from Previous Employment that applies to the Current Tax Year if they are enabled.

    3. Click OK to open the Payments and Deductions form.

  7. On the Payments and Deductions form, enter the payment and deduction values. The payments and deductions shown are those linked to the employee profile linked to the off-payroll worker. Click OK to save the record.

Important: If the off-payroll worker has already been included in a Full Payment Submission (FPS) in the tax year, perhaps using a different software product or manually using the HMRC web site, you must also select the Starter details already sent to HMRC box on the To-Date Details form linked to the off-payroll worker record. This prevents starter details being sent to HMRC again.

 You can maintain a notepad of information for the off-payroll worker on the Memo tab.

If you need to change the off-payroll worker's reference, use the Transfer command.