Now that workplace pensions are an integral part of payroll, it introduces another level of complexity to the payroll process. When pensions are integrated with payroll, as they can be with Paycircle, it means that the process of running payroll and submitting files to both HMRC and pension providers needs to be followed more closely, in order for everything to stay aligned. If payroll or pension files are submitted late it can cause issues with alignment and pension submissions can fail. When this happens it can difficult to untangle the problem and get communications realigned.
For this reason, Paycircle has introduced a safeguard mechanism to ensure everything runs smoothly each pay period.
Companies whose pensions are connected to their payroll (where Paycircle does the employee assessments, sends pension communications automatically and communicates directly with the pension provider each pay period) need to stay up to date with their payroll submissions in order to keep everything running like clockwork.
In situations where a payroll has not been processed by the scheduled date, Paycircle will send notifications to the payroll administrator, warning them to submit payroll or face two options. The two options are to either unhook the company’s workplace pension from Paycircle and submit their pension files to their provider manually or do nothing and allow Paycircle to submit payroll and pension files automatically on behalf of the company. The latter option will keep the company’s payroll and pension aligned and ensure continued, uninterrupted, automation.
If the payroll is submitted by Paycircle automatically and there were some adjustments that should have been made but weren’t, you will need to make them in the next pay period. You cannot rollback the period to make these adjustments. HMRC recommends that you do not rollback payroll in any circumstances but most payroll software will allow you to rollback and resubmit your payroll. Paycircle allows rollbacks to be performed also but this functionality is disabled when a pension is connected and pension files are automatically submitted to pension providers. This is due to the fact that you cannot ‘rollback’ a pension submission.
If your payroll is automatically submitted by Paycircle due to you missing your payroll submission date and you had adjustments in that period that you should have made, you will need to make these adjustments in your next pay period. If you are unsure how to do this, please contact our support team who will be more than happy to help you.