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Travel and Subsistence (Salary Sacrifice) - eZworkforce T&S
HM Revenue and Customs can grant dispensation to employers
of temporary and overarching contracted employees. This
dispensation reduces the requirements to complete travel and subsistence expense
details against yearend forms P11D and P9D; additionally it allows payment of
fixed subsistence amounts depending on how long the employee
works and when they work.
Example Saving: Based on a 4 Week Period
The employee receives £5 Subsistence and £12.57 Mileage
every shift |
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Pre Scheme |
Post Scheme |
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Hours |
160 |
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Rate |
£8.25 |
|
Employee NI |
£97.00 |
£58.28 |
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Employee Tax |
£164.04 |
£94.00 |
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Employee Net |
£1058.60 |
£1167.72 |
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Employee Benefit |
£109.12 |
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Employer NI |
£112.88 |
£67.84 |
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Employer Saving (NI Only) |
£45.04 |
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Employer Annual Saving (NI Only) |
£585.52 |
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Note that the Employee Benefit above may also be shared with the employer for
administrating the scheme. |
When employees usually go to work they go to a fixed location such as their head
office, and they would not normally be able to claim for travel or subsistence.
Temporary workforces such as Security Guards, Cleaners and Temporary Agency
staff travel to temporary (3rd Party) work places on short term contracts and
can with dispensation from HM Revenue and Customs, be paid both their travel
expenses and a subsistence value to cover meals.
The dispensation allows the employee to sacrifice some of their pre-tax/NI pay
in return of a post tax/NI benefit.
Organizations that have obtained dispensation and run this scheme will pay much
less Employer NI, but can also share in the savings/benefit given to the
employee combining to create a major cost saving.
eZworkforce Professional, and eZworkforce T&S will manage every aspect of
compliance and eligibility, calculating routes and travel and all with a full
audit trail. Both applications have an easy to use, intuitve interface and offer
great flexibility with full control of exactly how you want to run the T & S
scheme.
Both eZworkforce Professional and eZworkforce T&S are competitively priced and
offer a fast return on investment.
Call 0845 011 0080 or email
ezworkforce@workingpulse.co.uk
to discuss your requirements
This module is only Available to customers in United Kingdom; however if
similar schemes exist in your country - we can tailor this module to your needs.
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