amanda6168
Level 2

Payroll Deductions

We run a cycle to work scheme.  As directors we have basic salary of £8424.  I increased the salary to £9378.48 in July 2018 and started the Cycle to Work deduction in the same month deducting £79.54 per month.  We should not pay any NI or tax on this.  Everything fine  until Month 12 payroll.  YTD Total £9139.86, Taxable Pay £8424, but NI deducted for both employee and employer.  This is incorrect.  Anyone know how to set up the deduction in payroll items to reflect the correct figures at tax year end?  Thanks

Solved
TaliaI
QuickBooks Team

Employees and Payroll

Hello amanda6168,

 

If you have access to Facebook or Twitter, could you please private message us a screenshot of the payslip, along with your email address?

 

Thanks,

 

Talia

amanda61681
Level 1

Employees and Payroll

See attached copy of Month 12 payslip.  Our accountants think the CTW scheme deduction should be in the left hand side box under Salary.  I have spent 1 hour 40 minutes on the phone to QB's and still no resolution!  I need to do a submission by the end of this week or I'll incur a late submission penalty!  Help!

EmmaM
QuickBooks Team

Employees and Payroll

Hello Amanda

 

Thanks for the Screenshot

 

Can we just confirm that it is QuickBooks Online you are using?Just so we can make sure we are giving you the correct advice which payroll are you running is it Paysuite or QuickBoooks Online Payroll(if it is Paysuite it will say powered by Paysuite when you click onto the Employees section

 

Thanks

amanda61681
Level 1

Employees and Payroll

I'm using QB's desktop Pro 2019

EmmaM
QuickBooks Team

Employees and Payroll

Thanks for that

 

 

We have reached out to our desktop specialist to have a look at this. Can we just confirm when did that person become a director?Was it part way through the year as it is calculated on a pro rata basis as regards the thresholds?

Could you provide a screen shot of the item set up for CTW?

 

Thanks

 

Emma

superior123
Level 2

Employees and Payroll

Hi I am also looking to set up "before tax deductions" for a cycle to work scheme for one of our employees (not a director) when I try to set this up it is only allowing after tax deductions?

I am using quickbooks online.

amanda6168
Level 2

Employees and Payroll

Hi.  Sorry, I can't help with Online Quickbooks with this.  I also failed to sort out the problem with the Desktop Version, had to pay the additional NI contribution and claim it back from HMRC.  It was a pain!

amanda6168
Level 2

Employees and Payroll

Hi.  Forgot to say, I also spent an hour on the phone with the QB's helpline, but they had no idea about this sort of scheme and how it works.

EdwardR
QuickBooks Team

Employees and Payroll

Hello Superior123 and Amanda,

 

When adding a deduction in QuickBooks Desktop without any tax and NI setting selected in the Payroll item will still effect them. When testing this in a test environment we have tried adding thus as a negative addition without any options selected which then took off deduction prior to tax and NI. Could you please try recording this with an addition item using a negative figure to see if this gives you the results needed.

 

 

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