Are you Prepared for IR35
IR35 IN THE PRIVATE SECTOR
With the impending introduction of new off- payroll working (IR35) rules due to become statute in April 2020, those engaged in the supply of contingent labour into the private sector are rightly concerned as to how the new legislation will affect their businesses.
Even though the new guidance dictates that the worker will be responsible for determining if IR35 applies to their company, it will be the organisation that pays the worker who will be deemed responsible for calculating and paying the tax and national insurance contributions. Needless to say, these calculations will need to be accurate and submitted on time to avoid penalties, fines and increased scrutiny from HMRC.
As ever, the temporary recruitment sector has a tendency to panic at the prospect of any new rules which force them to analyse the genuine compliance credentials of their respective businesses and it appears to be no different this time around. The reality is that recruiters and umbrellas’ have absolutely nothing to fear providing they can trust their worker and assignment data.
THE PROBLEM WITH SOFTWARE?
And that’s the rub, most can’t. Typically, even the most basic worker profile information is often keyed in incorrectly across a myriad of back-office systems and platforms which cannot ‘talk’ to each other, let alone be simultaneously updated or managed. Increasingly complex assignment contracts and schedules are stored on platforms incompatible with the actual payroll software itself resulting in inevitable errors and the subsequent labour-intensive corrective process.
Despite the tsunamic onslaught of commercial software systems into the business landscape over the past decade or so, very few actually provide a genuine ‘end-to-end’ solution that meets the demands of companies ever eager to streamline their operations. The recruitment industry is absolutely typical of this with numerous platforms flooding the market accompanied by nirvana-like claims of their ability to guarantee total accuracy, full compliance, and vastly improved business efficiency.
This is all well and good providing the marketing gloss of these claims ring true. Disappointingly, the reality is often something different with platforms cobbled together using out-of-date code or components from other providers with whom any given company might have merged or entered into a joint sales agreement. In terms of payroll software, these arrangements rarely work satisfactorily, especially when it comes to the finer nuances of calculating a worker’s pay and deductions accurately based on a bewildering array of individual circumstances.
These include multi-assignments whereby a worker might be working for different clients on the same day even through separate agencies, varying pay arrangements based on either daily or hourly rates, differences in holiday pay provision and statutory payments, plus an almost infinite list of preferred pension providers.
Not one piece of proprietary software in the
recruitment sector has been able to deal with all of these variables until now.
One Simple Supply Chain Solution
Developed over the past five years, Solutio is a cutting-edge platform that truly empowers the contingent worker supply chain to trust their data and preserve their compliance status. Solutio synchronises real-time information between the worker, recruiter and umbrella company to ensure complete synchronicity of information and totally accurate payroll computations all calculated in a single instance.
Cloud-based and built using state-of-the-art tech, Solutio seamlessly integrates with your existing CRM via API’s and web hooks to minimises any disruption during installation. Workers self-serve all facets of their assignments via a mobile app compatible with both Android and Apple devices, in addition to having access to a desktop portal if they prefer. Maintaining their personal profiles, uploading timesheets and receiving payslips are three of the headline features of the app, but it can do so much more. Receiving notifications from those in the workers’ supply chain enhance communication between all parties, while storing contracts or schedules give the worker access to all information required to professionally manage their working life.
With all data stored on UK-based servers, clients no longer have to purchase or maintain their own hardware and benefit from enhanced processing power and one-click payroll runs. Solutio is an independent operating system that ensures teams can continue working even when the system is
running payroll. Without wishing to state the obvious, the benefits in terms of labour savings and efficiency are vast.
WANT TO FIND OUT MORE?
To experience the full power of Solutio, please contact Adam Jordan now to arrange an initialconsultation & interactive online demo on 07789 488 909 or email firstname.lastname@example.org.