Payroll Flashcards
1
Q
How do you calculate the total cost of a payroll?
A
Gross wage figure and all employer costs added together
Gross wages + employer national insurance contributions + employer pension contributions + any other employer contributions
2
Q
How do you calculate the net pay figure?
A
Gross pay minus all employee deductions
Gross wages -income tax - employee national insurance - employee pension contributions - any other employee contributions
3
Q
How do you calculate HMRC liability?
A
Income tax + employee national insurance + employee national insurance = amount owed to HMRC for payroll
