Set up Sage Payroll mid-tax year

Enter current employment YTD values

1. On the menu bar, click Processing then click Employee Details.
2. Next to the Surname box, click browse and click the relevant employee.
3. Click the Pay/YTD tab.
4. Ignore the following options, you enter these in the ETP tab at a later stage in the procedure:
   • Gross Pay This Employer
   • Tax Paid This Employer
   • Pay for USC This Employer
   • USC This Employer
5. If the employee has any non-taxable deductions, such as pensions or PRSAs, complete the following fields. This shows the correct cumulative totals on the employee's payslip:
   
   

   Employee Financial Year	Total contribution made by the employee this financial year.
   Employee Tax Year	Total contribution made by the employee this tax year.
   Employee From Start	Total contribution made by the employee for the full term of employment with your company.
   Employer Financial Year	Total contribution made by your company on the employee's behalf this financial year.
   Employer Tax Year	Total contribution made by your company on the employee's behalf this tax year.
   Employer From Start	Total contribution made by your company on the employee's behalf throughout their employment.

6. Under PRSI, enter the total amount your company paid on behalf of the employee in this year.
7. Click the ETP tab, then select the I need to override these values check box.
8. Enter the following information:
   NOTE: For employees with multiple PRSI classes, complete a new line for each class. For example, one line for PRSI class A1 and another line for PRSI class A0.
   
   

   Period	Enter a period number. For example, 1.
   Period Date	Enter a date for the payroll run.
   Pay Date	Enter the date the employee receives payment.
   Type	Enter B for bonus or N for normal.
   Taxable	Enter the taxable gross pay earned to date in the current employment this tax year. This value will be the employee's gross pay minus any: Payments that aren’t subject to tax Employee pension contributions Other pre-tax deductions
   Tax	Enter the tax paid to date this tax year in the employee's current employment.
   PRSIable E'e	Enter the total gross pay to date that was subject to employee PRSI calculation in the current employment.
   PRSI E'e	Enter the total PRSI paid to date by the employee during your employment this tax year.
   PRSI Code E'e	Enter the relevant PRSI code. If you're unsure about which PRSI code to select, contact the Department of Social Protection.
   PRSIable E'r	Enter the total gross pay to date that was subject to employer PRSI calculation in the current employment.
   PRSI E'r	Enter the PRSI paid to date by your company on behalf of the employee this tax year.
   PRSI Code E'r	Enter the relevant PRSI code. If you're unsure about which PRSI code to select, contact the Department of Social Protection.
   PRSI Base	Enter the PRSI base code that the employee is under. If you're unsure, contact the Department of Social Protection.
   Ins Wks	Enter the total number of insurable weeks to date that the employee has worked under this PRSI code.
   Left	If the employee has left your employment, click Y. If they haven't left, ignore this option.
   BIK Amount	Enter the total benefit in kind (BIK) income in the current employment this tax year.
   BIK Tax	If applicable, enter the total tax paid to date on the BIK.
   BIK PRSI E'e	If applicable, enter the total PRSI paid to date by the employee on the BIK.
   BIK PRSI E'r	If applicable, enter the total PRSI paid to date by the employer on the BIK.
   Pay for USC	Enter the total income earned to date in the current employment subject to USC calculation this tax year.
   USC	Enter the USC amount paid to date by the employee in the current employment this tax year.
   BIK USC TP	Enter the BIK USC amount paid to date by the employee in the current employment this tax year.
   Employment ID	Enter the unique ID for each employment. Employees with dual or multiple employments under a single tax registration number, must have a separate, unique employment ID for each one.
   Illness Benefit	If the employee has received any illness benefit payments while in your employment, enter the taxable amount.
   Property Tax TP	If the employee pays through the payroll, enter the amount paid by the employee to date during your employment.

9. Click Save.
10. The Override ETP window appears. Select what you want next, then click Continue.
11. Repeat steps 2 to 13 for each employee you want to enter YTD values for, then click Cancel.

Enter YTD totals for each payment the employee uses

To ensure the correct cumulative totals on your employee's payslip, enter the year to date totals for each payment the employee uses.

1. On the menu bar, click Processing then click Employee Details.
2. Next to the Surname box, click browse and click the relevant employee.
3. Click the Payments tab.
4. For each relevant payment, complete the following information:
   

   Hours TD	If you pay the employee hourly, enter the total hours for this payment within the current financial year.
   Value TD	Enter the total value to date of this payment for the current financial year.
   Tax Yr Hours	If you pay the employee hourly, enter the total hours for this payment to date within the current tax year.
   Tax Yr Value	Enter the total value to date of this payment for the current tax year.

5. Click Save.
6. Repeat steps 2 to 5 for each employee you want to enter payment YTD totals for, then click Cancel.

Enter YTD totals for each deduction the employee uses

To ensure correct cumulative totals on your employee's payslip, enter the year-to-date totals for each deduction the employee uses.

 

1. On the menu bar, click Processing then click Employee Details.
2. Next to the Surname box, click browse and click the relevant employee.
3. Click the Deductions tab.
4. For each relevant deduction, complete the following information:
   

   Balance E'e	Enter the total amount the employee has contributed while in your employment this financial year. For reducing balance deductions, enter the total amount still to be repaid.
   Total E'e	Enter the overall total amount the employee has contributed while in your employment.
   Balance E'r	Enter the total amount to date your company has contributed this financial year.
   Total E'r	Enter the overall total amount your company has contributed.
   Tax Yr E'e	Enter the total amount the employee has contributed to date while in your employment this tax year.
   Tax Yr E'r	Enter the total amount your company has contributed to date this tax year.

5. If the employee pays through payroll for Local Property Tax, enter the yearly value in the Total LPT box.
6. Click Save.
7. Repeat steps 2 to 6 for each employee you want to enter deduction YTD totals for, then click Cancel.

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Mid-year set up and calendar settings

After you set up your employees and enter year to date values, you must set up your calendar.

1. From the menu bar, click Company/Payroll, then click Calendar.
2. On the New Calendar tab, complete the fields as if you were processing for the entire tax year.
3. Click Update, then click the Calendar Details tab.
4. Review the information and edit if required.
5. Click Save.

When you set the first period in your new payroll, enter the relevant period for when you’re processing. For example, if you intend to process your first period in June, set up your calendar starting from the 1 January. Set the period 6 – as that is the period number for June.

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Check that year to date values are correct

Now that you've completed the mid year employee set-up procedure, check:

The Control Summary totals are correct

Print the Control Summary report now and compare it against the same report you printed before you began the mid year set up procedure. If there are any discrepancies, you must rectify them before processing.

Your employee's payslips calculate correctly

The next time you process your employees' pay details, check the tax, PRSI and USC calculations on each of your employees' payslips are correct. They’ll be similar or identical to the calculations in your previous pay periods.

Unexplained calculation differences typically indicate issues with values entered during the mid-year setup procedure. To correct issues, identify what values are incorrect. For example, the employee is paying too much tax or they're receiving an incorrect tax refund.

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Possible reasons for incorrect tax, PRSI and USC calculations

To fix this