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KB Category: Sage Payroll (Micropay)

Legislation introduced in 2018

Written by Pimbrook Support on .

Legislation introduced for 2019

This article highlights the legislation changes that were introduced in 2018 for January 2019.

 

Emergency tax

 

From 1 January 2019, there is an increase of €750.00 in the income tax standard rate band for all earners.

Rules of Emergency tax

Whether an employee has a PPS number or not, and the length of time the employee is on Emergency tax status have a direct impact on how their Emergency tax calculates. The following rules apply in the:

2019 tax year
If the employee has a PPS number
Length of time on emergency tax status Tax rate 1 cut-off point Tax credits
Month 1, or week 1 to 4 2942.00 monthly, or
679.00 weekly		 0.00
Month 2, or week 5 to 8 0.00 0.00
Month 3, or week 9 onwards 0.00 0.00

If an employee doesn’t have a PPS number, they must pay the higher rate of tax (40%) on all of their taxable earnings in a period.

 

 

 

Universal social charge (USC)

The following rates and thresholds apply from 1 January 2018:

Rates Yearly earnings
0.5% 0.01 – 12,012.00
2% 12,012.01 – 19,372.00
4.75% 19,372.01 – 70,044.00
8% 70,044.00 and above

 

Employees aged 70 or older, and medical card holders are exempt from paying USC at rates 4.75% and 8%. If your employees earn less than €13,000 in the year, they’re exempt from USC.

 

Pay related social insurance (PRSI)

Employee PRSI rates remain unchanged, but the employer PSRI rates have increased by 0.1% for all subclasses except JO, which remains at 0.5%. Also, the employer PRSI threshold has increased from €376 per week to €386.

 

Increase in minimum wage rate

The minimum wage has increased from €9.55 to €9.80.

 

Revenue Payroll Notifications (RPNs) replacing P2C certificates

From 1 January 2019, you’ll be required to request the most up to date RPNs for your employees before you process their pay details each period. RPNs provide you with the necessary information to deduct from your employees the correct tax, universal social charge (USC) and local property tax (LPT), if applicable.

RPNs will be made available to you, for each employee that is currently registered with Revenue as working for your company, before 1 January 2019. Please ensure that you’ve registered your payrolls to use the Sage Services to ROS so you can automatically retrieve RPNs from within your Sage Payroll 2019 software.

 

Introduction of Additional Superannuation Contribution (ASC)

ASC calculations come into effect from 1 January 2019 and replace the Pension Related Deduction (PRD). ASC is provided for under Part 4 of the Public Service Pay and Pensions Act 2017. Read more about ASC >

 

P45, P46, P45 (Part 3), P30 and P35 returns no longer valid from 2019

From 1 January 2019, the traditional reporting structure that businesses used in 2018 and previous years (such as P30, P35 and P45) ceases to exist. Instead under the new Real Time Reporting (RTR) legislation, you must send a payroll submission electronically to Revenue each time you pay your employees. You can quickly and easily do this in Sage Payroll 2019 by using the Send Payroll Submission option.

The payroll submission you make each pay period to Revenue contains:

  • Details of all payments made to your employees in the pay run.
  • The total tax, universal social charge (USC), pay related social insurance (PRSI), and if applicable local property tax (LPT) paid by your employees in the pay run.
  • Employee details, such as name, PPS number, Employment ID and tax/USC status.
  • Details of any starters or leavers from the pay run, and more information.

All payroll submissions sent by you to Revenue in respect of a month will form the basis of a statement that will be provided to you by Revenue outlining your PAYE liabilities for that month.

 

Additional Superannuation Contribution (ASC) – the basics (Replacing PRD)

Written by Pimbrook Support on .

Additional Superannuation Contribution (ASC) – the basics

Additional Superannuation Contribution (ASC) will be introduced with effect from 1 January 2019 and replace the Pension Related Deduction (PRD). ASC is provided for under Part 4 of the Public Service Pay and Pensions Act 2017. Whereas PRD was a temporary emergency measure, ASC is a permanent contribution in respect of pensionable pay. Here are some other important points of information you need to be aware of :

  • Unlike PRD, ASC will only apply to a person who is a member of a public service pension scheme or receives a payment-in-lieu of pension.
  • Unlike PRD, ASC will only apply to pensionable remuneration, so non-pensionable allowances and non-pensionable overtime will not be subject to ASC (whereas they are subject to PRD).
  • PRD was chargeable where remuneration was taxable. Unlike PRD, ASC will apply to all pensionable remuneration whether taxable or otherwise. Thus non-taxable pensionable allowances and emoluments will become liable for ASC.
  • Unlike PRD, ASC is charged at different rates with different threshold bands depending on the pension scheme a person is a member of and the pension terms applying to such membership. Therefore, it is very important that an individual is correctly identified on the system in respect of the relevant pension scheme membership and terms applying.
  • Week 53 scenario – For those payrolls for which there is an extra pay week (week 53/fortnight 27), an extra set of thresholds should be applied in that particular week. That set of thresholds should be added on “Week 1” basis, not cumulative.
  • Like PRD, ASC is chargeable on all pensionable remuneration across multiple pension scheme employers and based on the combined pensionable remuneration in such employments. The procedure for calculating main and subsidiary employments will pertain in respect of ASC as pertained in respect of PRD.
  • There is employer PRSI relief in respect of ASC. However, ASC don’t qualify for employee PRSI relief.
  • ASC will qualify for tax relief, but not Universal Social Charge (USC) relief.
  • ASC will not be included for the purpose of calculating age-related tax relief thresholds.

 

ASC rates and annual earning thresholds

 

The following rates and thresholds apply from 1 January 2019:

 

Member of a standard accrual pension scheme
Annual earning thresholds Rates
Up to €32,000.00 0%
From €32,000.01 to €60,000.00 10%
€60,000.01 and above 10.5%
Member of a fast accrual pension scheme
Annual earning thresholds Rates
Up to €28,750.00 0%
From €28,750.01 to €60,000.00 10%
€60,000.01 and above 10.5%
Member of the single scheme
Annual earning thresholds Rates
Up to €32,000.00 0%
From €32,000.01 to €60,000.00 6.66%
€60,000.01 and above 7%

For more details on setting up ASC click here

 

Pimbrook Employee Guide – How to set up and register a Job on Revenue ‘My Account’

Written by Pimbrook Support on .

Click here to download a word copy of this guide

Click here to download full copies of the employee forms

Pimbrook Employee Guide – How to set up and register a Job on Revenue ‘My Account’

 

1. Get the Employee to Fill in the Employee New Starter form.

 

 

2. Give the Employee the Employee form for Revenue filled in.

 

 

Click here to download full copies of the employee forms

 

3. How to Register with a ‘MyAccount’

 

If you have a verified MyGovID account, you can use your MyGovID details to sign in or to register you will need the following:

  • PPS number
  • Date of Birth
  • Mobile number or Landline number
  • Email address
  • Home address

 

a. Click on the link for my account

https://www.ros.ie/myaccount-web/sign_in.html?execution=e1s1

 

b. Click on Register now

c. To get instant access, verify your identity with 2 of the following:

  • Irish driving licence number
  • Information on your P60
  • Information from your income Tax notice of assessment or acknowledgement or self-assessment.

When you have all the relevant information click on Start Registration

 

d. Enter in your PPS number

e. Enter how you wish to get your temporary password: By text, by email or by post and click Next (By Post will take up to 5 days). Click Next

 

f. Enter in your First name and Family name and Click Next

(please note the name you enter here must match your PPS number and your payroll e.g if you have your maiden name registered to your PPS number this is the name you use)

 

 

g. Enter your date of birth Click Next

 

 

h. Enter in your address and Click Next

i. Enter in your Phone number and Click Next

 

j. Enter in your email address and Click Next

 

 

k. Select what form of identity you are going to provide

 

l. If you select driving licence enter your licence number and click Next

m. If you select the Income Tax notice of assessment or acknowledgement of self-assessment enter the details of Year, Notice Number and Date of Issue and Click Next.

 

If you don’t have the 2 forms of identity you can click back and select the register by post (this takes up to 5 days).

 

4. Add the Job to ‘My Account’

 

a. Sign into ‘My Account’

https://www.ros.ie/myaccount-web/sign_in.html?execution=e1s1

 

b. Enter your Sign In details (PPS Number, Date of Birth and Password)

c. Select Add Job or Pension

d. Click Start to Add the Job

e. Click on Add Job and follow the 4 steps in the wizard through to the end.

 

 

f. Section two

Tell us how long you have been living in the Republic of Ireland

 

g. Section three

Tell us about your overall income

 

h. Section four

Review your details and Submit

 

You have now successfully added an employment to ‘My Account’

 

 

 

Instructions for Sub-user (Revenue)

Written by Pimbrook Support on .

Instructions for Sub-user (Revenue)

 

The ROS Administrator should provide the Sub-user with the ID Ref and System Password from the Admin Services tab.

1. Once you have the above information, go to Register for ROS.

2. Click on ‘Download and Save you Digital Certificate’

 

3. Under the Terms and Conditions, click ‘I Accept’ to proceed.

 

4. Select ‘A Sub User’ and enter the ID Ref provided by your ROS Administrator.

5. Click ‘Next‘

 

6. Make up a name for your certificate – this cannot be changed later.

The certificate name may not include spaces, accented characters or symbols.

Create a password – this is the password that you will use to log into ROS.

The password must have at least 8 characters, including at least one UPPER case character, one lower case character and 1 digit and may not contain any part of the certificate name.  If you forget your password, your ROS Administrator can check it for you.

7. Click the ‘Request Certificate’ button.

 

8. Click the ‘Save’ button.

 

9. Depending on which web browser you use, you may need to click on ‘Save’ again on the bottom of the screen.  The certificate will now have been saved to your Downloads folder.

If you lose your sub-user certificate, your ROS Administrator will have to issue a new one, so make sure to save the certificate on your computer.

More information on how to save your digital certificate is available in the Getting Started on ROS Help section – under the Registering for ROS heading.

 

 

How to apply for ROS sub cert

Written by Pimbrook Support on .

How to apply for ROS sub cert

 

Instructions for ROS Administrator

 

1. Log into ROS as the ROS administrator and click on the ‘Admin Services’ tab.

2. Click ‘Add New’

 

3. Enter the sub-users details:

  • Surname: surname of the individual that the cert is for ( note that if this certificate is required for CRO Filing, this must correspond to the details on record with CRO).
  • First Name: First name of the individual the cert is for (note that if this certificate is required for CRO Filing, this must correspond to the details on record with CRO).
  • ID Ref: This is an identifier that you make up – e.g. Staff number, or other identifier.  The ID Ref will be used to download the certificate and must be unique.
  • ID Type: The type of ID reference number given from the dropdown menu – e.g. Other.
  • E-Mail Address: Contact e-mail address for the above named.
  • NVDF Cert: IF the certificate is to be used for Motortrans (NVDF) ONLY – tick this.
  • DSP Cert: IF the certificate is to be used for Welfarepartners (DSP) ONLY – tick this.
  • SEED Number: If this certificate is for a SEED user, please enter SEED number (Traders Excise Number) in this field.  An EMCS user MUST COMPLETE the Mandatory and SEED Number fields.  This subcert can then be used to submit, receive and receipt messages via ROS webservices for customs clearance.
  • EORI Number: If this certificate is for an ICS Carrier who submits declarations via an agent, please enter their EORI Identifier (customs).

 

4. Click ‘Submit’

 

5. You should receive confirmation that a new Certificate has been requested.

 

 

 

6. Click the ‘System Password’ padlock icon for the new sub-user and note the system password; you should also note the ‘ID Ref’ you created as they will be needed to download the certificate.

You must notify the sub-user of the ‘ID Ref’ and ‘System Password’ for the certificate so that they can complete Step 3 of the Register for ROS.  ITs should be immediately available for download.

Once the sub-cert is downloaded,  the status column will change to Activate and you will be able to see what password the sub-user has set up by clicking the Certificate Password padlock.

 

 

Payroll Submission Report – (PSR)

Written by Pimbrook Support on .

Payroll Submission Report – (PSR)

 

Under Real Time Reporting (RTR), you must send a payroll submission electronically to Revenue each time you pay your employees. You can quickly and easily do this in Sage Payroll 2019 by using the Send Payroll Submission option. The payroll submission you make each pay period to Revenue contains:

  • Details of all payments made to employees in the pay run.

Each of your employees will have their own payment date specified on the payroll submission you send to Revenue (each pay period). The payment date is based on the pay method of an employee and the dates set up in your payroll calendar. Read more >

  • The total tax, universal social charge (USC), pay related social insurance (PRSI), and if applicable local property tax (LPT) paid by your employees in the pay run.
  • Employee details, such as name, PPS number, Employment ID and tax/USC status.
  • Details of any starters or leavers from the pay run, and more information.

A full listing of what is on the payroll submission file can be downloaded from here. 

Revenue tracks this information throughout the tax year to confirm that each employee’s PAYE liabilities are being deducted correctly.

 

 

1. Open your payroll

2. Select Direct Payroll Reporting and Send Payroll Submission

3. Check that you’ve completed all of the tasks mentioned in the checklist. If you haven’t, click Cancel then click Yes to close the submission window. Then complete the relevant tasks.
Blue links are links to the online help centre

Once you’ve completed all of the checklist tasks, click Next to proceed.

4. Under ROS Digital Certificate, click Browse

 

5. Browse to and select your ROS Certificate (.P12) file, then click Open.

6. Enter your ROS digital certificate password in the box provided.

7. If relevant, click the Save password to Sage Payroll check box.

8. Check the ROS login credentials are correct. Edit if required. – To proceed, click Next.

9. While Sage Payroll collates your payroll data into a submission file, the following loading window appears. This process may take a few minutes to complete, so please don’t close the window

10. Check the information is correct within the Review Details window. To view a detailed breakdown of the values per employee, click Export Details.

11. Once you’re happy with the details, to proceed, click Submit.

12. Please note that once you click Submit, the process can’t be reversed or stopped.

You can click cancel here if it is taking a long time – but once you click submit (on the previous screen) there is no cancelling. Cancel will only close the screen ant the submission will work on the background.

13. Once your payroll submission is successfully received by Revenue, the Process Complete window appears. If you want to, you can view or print the submission log by clicking Export Details.

14. To print the report, click the Printer button.
To save a PDF copy of the report, click the Save button.
To close the report, click X at the top right-hand side of the window

15. To close the Send Payroll Submission window, click Finish.

16. You will receive an instantaneous message from revenue to your email. This will include your submission ID.

 

Click here for details on how to view the Payroll Submission log

 

Retrieve Payroll Notification – (RPN)

Written by Pimbrook Support on .

Retrieve Payroll Notification – (RPN)

 

Revenue Payroll Notifications (RPNs) will replace the current P2C certificates. From 1 January 2019, you’ll be required to request the most up to date RPNs for your employees before processing their pay details each period. RPNs provide you with the necessary information to deduct from your employees the correct tax, universal social charge (USC) and local property tax (LPT), if applicable.

RPNs will be available to you before 1 January 2019, and once you’ve registered your payrolls to use the Sage Services to ROS, you can automatically retrieve RPNs from within your Sage Payroll 2019 software.

 

You can use the Retrieve RPNs option within Sage Payroll to request an RPN for a new employee, except where the employee:

  • Doesn’t have a PPS number.
  • Is not registered for PAYE.

You will have to apply emergency tax in these cases.

1. Once you have set the period on your payroll you are ready to import the RPN

 

2. On the menu bar, click Direct Payroll Reporting then click Retrieve RPNs.

 

3. The Retrieve RPNs wizard automatically opens. – (If your Revenue Online Service (ROS) login credentials already appear on-screen, skip to step 6.)

4. Under ROS Digital Certificate, click Browse.

5. Browse to and select your ROS Certificate (.P12) file, then click Open.

6. Enter your ROS digital certificate password in the box provided.

7. Check the ROS login credentials are correct. Edit if required.

8. Click Next

9. Once retrieved, check the information is correct within the Review Details window. You can view a detailed breakdown of an employee’s details by clicking the info button that appears next to them.

You can see the employees tax status went from Normal to Week 1

10. To proceed, click Import.

11. Once the RPN details have successfully imported into Sage Payroll, the following window appears.
These are just sample screens, this will not be a realistic scenario in 2019. The number imported will not be greater than the number retrieved.

12. To produce a copy of the imported RPN information for your records, click Print.
These are just sample screens, this will not be a realistic scenario in 2019. The number imported will not be greater than the number retrieved.

13. To print the report, click the Printer button.
To save a PDF copy of the report, click the Save button.
To close the report, click X at the top right-hand side of the window

14. To close the Retrieve RPNs window, click Finish.

 

 

If you have more than one payroll, repeat the steps above in each of them.