Every penny counts, but brits are more likely to check their weight or the lottery results than their payslip
One in four (25%) workers don’t check their payslip monthly, with Brits more likely check their weight (28%), the lottery results (15%) or hunt for loose change (10%)
Payroll has never been more complex due to furlough and changes to workers’ deductions in pay (39%)
COVID-19 has also hit workers’ finances, with 68% having experienced a reduction in income and nearly half (47%) coming close to running out of money monthly
As many as 43% of workers have previously experienced errors in their payslip, which has led them to overpaying on tax
London, UK - 8 September 2020
New research from Intuit QuickBooks1 reveals that a quarter (25%) of UK workers don’t check their payslip monthly, with employees instead more likely to check their weight (28%), the lottery results (15%) or window shop for houses online (14%).
One in ten (10%) are more likely to scavenge for loose change around the house than check their payslip for errors, which could potentially reap bigger rewards.
Now is a crucial time for employees to be on top of their payslips, as COVID-19 and schemes including furlough have made payroll more complex. For small businesses in particular, payroll will be more challenging than ever.
As many as two in five (39%) employees have experienced changes in the deductions to their pay (such as pension, private healthcare and childcare contributions) since lockdown.
In addition, more than nine million workers2 have been furloughed, yet QuickBooks’ research shows half (50%) of those currently on the scheme are unaware this could impact the amount of tax they are paying.
Lockdown has also put intense pressure on household finances, which means unnoticed errors in pay could intensify financial problems. According to the research, over two thirds (68%) of workers have seen a reduction in household income as a result of the coronavirus, with an average fall of 14%.
The financial implications of this are far reaching, with a third (31%) saying they have taken on extra debt and nearly half (47%) saying they are close to running out of money every month.
When asked why they don’t check their pay, a third (31%) say they trust their employer to get it right, while 16% say they don’t understand their payslip. Worryingly, 15% simply can’t be bothered and 10% don’t know how to access it.
As many as 43% of workers3 have previously experienced errors in their payslip which led to them overpaying on tax.
Pauline Green, Head of Payroll at Intuit QuickBooks comments:
“The coronavirus has put intense pressure on finances across the country – from both an employer and employee perspective. It’s never been more important that workers are paid correctly, and on time. Yet employers are facing changeable and complex payroll processes, and those without finance teams are particularly prone to the pressures of running payroll under these unusual circumstances.
Small businesses owners always want to get pay right, but sometimes mistakes do happen – which is why it’s always advised to give your payslip a quick once-over. However, with the right digital tools employers can minimise these risks and instead spend more time on growing their business. Digital software solutions use features like automatic tax updates from HMRC to make managing payroll as accurate, efficient and easy as possible.”
For example, QuickBooks payroll solutions allow small business owners to easily keep on top of payroll for employees and furloughed workers, pay statutory sick pay without delays and shift furloughed workers returning to work back onto normal payroll quickly and easily.
QuickBooks also provides an online employee portal, simplifying the process for employees looking to check and understand their payslip.
For more information and details of how QuickBooks can help you switch to a compliant, simple and easy payroll solution whether it is for the first or fifteenth employee, please visit QuickBooks .
Sources
1 Independent research conducted by Censuswide on behalf of Intuit QuickBooks with a nationally representative sample of 1,100 UK workers and 500 UK furloughed workers in August 2020.
The proportion of those who do not check their payslip excludes those who do not receive payslips/prefer not to say.
3 Among those who definitely have or haven’t experienced this (excludes those who are unsure).
Disclaimer
This information is intended to outline our general product direction, but represents no obligation and should not be relied on in making a purchasing decision.
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