Payroll Tip - Refunding NI Contributions
September 2008
If an employee has been calculated using the incorrect NI letter then it is possible to refund any NI that is due.
- Firstly put the employee on the correct NI code, this should be done through Employee Maintenance > Tax & NI
- Pay the employee by right clicking over their name and selecting Open & Pay
- Click the NIC Refund button.
Manual NI Refund
- Select Enter Manually from the Refund Options
- Select the NI code for which the NI contributions need to be refunded
- Enter the amount of employee’s NI to be refunded
- Enter the amount of employer NI to be refunded
- Click Save then Close
- Click Calculate and the refund will be shown in the results section.
Re-Calculate NI Automatically
- Select Re-Calculate from the Refund Options
- The Apply NI Code field will show the NI code that will be used for the back calculation. It is important that the NI code has been changed in Employee Maintenance prior to carrying out the operation
Select the period that the NI code should have been changed - Click Save then Close
- Click Calculate and the refund will be shown in the results section.
If you would like any further information regarding payroll then please call Margaret on 0845 223 2170.
Return to category: Newsletter: Brilliant News - September 2008