Payroll software has been evolving over the past few years. Xero payroll UK is a well-known name among small businesses in the UK. It is software that covers a list of employees and their Payroll. Xero payroll offers tax filing and associates with HMRC’s latest norms. No doubt managing the Payroll requires a lot of effort and time.
Every business needs good software like Xero to develop a precise payroll system. Do you know how to use Payroll Xero efficiently? If you don’t know yet, then read this post till the end. This post will guide you on how to set up and edit payroll in Xero.
What Is Xero Payroll Software?
Xero payroll is cloud-based online accounting software. It is the HMRC recognised payroll tool which provides many features. With the help of Xero, businesses can automate tax, calculate and pay pensions.
Automate Payroll Online
With the payroll tool, you can pay your employees in a few clicks. The automated payroll online updates the data in accounts. You don’t need to process the payroll anymore manually.
- Automatic leave, pensions, and tax calculations.
- Let your employees view their payslips online.
- Flexible pay rates and tax calendars.
Sorted HMRC Requirements
HMRC recognises Xero payroll. In other words, you don’t need to worry about HMRC’s new compliance anymore. It simplifies the required reporting and compliance.
- Keep the records of digital pay updated.
- Submit the payroll details directly to the HMRC each payday.
Quick Pension Re-Enrolment
The automated pension re-enrolment saves time. With Xero UK payroll, pension enrollment becomes easy.
- Direct integration with pension providers.
- Reduce the errors or risks in pensions.
- Assess and enrol employees.
Benefits Of Xero Payroll UK Software
Having the payroll software is more than automating the payroll tasks. Payroll brings immense benefits to your business.
Easy To Use
Xero Payroll is easy-to-use payroll software. The manual accounting process can be complex without the right tool. This tool simplifies payroll tasks. It is easy to use and brings a user-friendly interface.
Supports Bank Feeds
Payroll Xero supports the bank feeds online. It is one of the important features of any online payroll software. Automatic bank account reconciliation saves a lot of time.
Lower Maintenance
The overall maintenance of Xero payroll is lower than other software. In this software, the upgrades and backups happen automatically.
Read More:- Xero CashBooks & Xero Ledger: Benefits, Pricing & Details
Process Of Xero Payroll Login UK
Xero payroll process is simple and involves the following steps:
For Web:
To login to the Xero payroll on the web, go through the steps mentioned below:
- Firstly, go to the Payroll Login page.
- Then, enter your Email Address and Password.
- Finally, click on the Login button.
For iOS Devices:
Xero payroll login process for the iOS device is as follows:
- Firstly, open the Payroll app on your device.
- Now, click the Login button.
- After that, enter your Email Address and Password.
- Then, tap the Login button.
- When you log in to Xero from your iOS device the first time, select the Don’t Lock It option to unlock the lock.
- After that, select the Account tab.
- Lastly, click on the Lock option under Additional security.
For Android Devices:
To login into Xero payroll from your android device, follow the steps given below:
- Firstly, open the Payroll App on your device.
- After that, tap the Login option to proceed.
- Then, fill out your Email Address and Password in the given field.
- Now, tap the Login option.
- When you log in to Xero from an Android device, tap Yes Please to keep the app unlocked.
- From the dashboard, click the Menu icon.
- Then, click the Settings option.
- Selection of the Lock option under the Additional Security.
- Finally, tap one of the other lock options.
How To Set Up Payroll In Xero UK?
The whole process of how to set up a Payroll in Xero UK requires a step-by-step guide. Before setting up the payroll, you must collect various information.
Gather Payroll Information
The primary step in setting up the payroll is to collect payroll information. Here is the list of information you require:
- Details of your employee.
- Business account details.
- Expense account details.
- Your Business Pay calendars.
- List of pay items like expenses, deductions, and earnings.
Gather Employee Information
The next step in setting up payroll is collecting employee information. Here is the list of information you are required to collect:
- Current pay balance.
- Employee personal details.
- Employment details.
The Setup Process Of Xero Payroll UK
Once you gather all the basic information about employees and business, the next step is to set up the payroll.
Set Up A Payroll Account
To set up a payroll account in the Xero app, follow these steps:
- Firstly, log in to your Xero account.
- Then, navigate to your business name and click Settings.
- After that, go to Payroll settings to proceed further.
- From the Organisation tab, tap the Bank Account option.
- Now, select the Account to pay for your employees.
- Lastly, Click the Save button.
Set Up Payroll Calendar
It is important to set up a payroll calendar for a successful pay run in future. Follow these steps to set up the calendar for Payroll Xero:
- Firstly, log in to your Xero account.
- Then, select your Business profile and click the Settings tab.
- After that, choose the Payroll settings option.
- Next, select Calendars and tap the Add button.
- Then, set up the Start date, Pay period, and First payment date in the calendar.
- Finally, click on the Add button.
Set Up Pay Templates
It is the optional step in the setup process but recommended one. This step will ease your future Payroll with ready-made pay templates. Here are the steps to create pay templates-
- Firstly, log in to your payroll account.
- Then, tap on the Payroll menu and select the Employees option.
- After that, click the Employee’s name to see its details.
- Now, adjust the Earnings, Deductions, and Reimbursements.
- Lastly, tap the Save button.
How To Edit Payroll In UK Xero?
Xero Payroll Tutorial UK offers the flexibility to edit employees’ Payroll. You can edit salary, wage, and hours easily.
Edit Employee’s Payroll In Xero UK
To edit the wages and salary, follow these steps given below:
- From the Payroll menu, tap the Employees option.
- Tap on the Employee’s name to view the details.
- After that, navigate to the Pay Template tab.
- Then, edit the employee’s Payroll under the Earnings Rate.
- Finally, click the Save button.
Apply New Salary And Wages To Payroll
To apply new salary and wages, follow the steps mentioned below:
- Firstly, go to the Payroll menu and select the Pay Employees option.
- Now, click on Draft Pay Run to open the Payroll.
- Then, tap the Name Of Employee option to open the payslip.
- After that, tap the Reset Payslip button.
- To apply the pay rates, click on Add Earning Line.
- Select the Earning Rate according to your needs.
- Finally, click the OK button.
The other advanced payroll functions depend on Xero Payroll Pricing for the UK. Every plan of Xero comes with options and add-ons. Users can purchase the monthly subscription of payroll software along with the plan. Xero add-on price is £5 per month for up to 5 employees. You need to pay £1 per month for the additional active user.
Conclusion
The demand for Xero payroll UK has increased over the last few years. Small and medium-sized businesses focus on automating payroll tasks. Payroll Xero eases complex tasks with automatic pay runs, detailed reports, and tax filing. The above post will benefit you if you are new to the payroll software.
We include the process of setup and editing Payroll in Xero. If you face any error or difficulty, call our experts anytime. MWJ Consultancy provides software support services to businesses and individuals. Our expert team resolves the various errors you might face with your accounting software. We cover all the industry-leading accounting software like Xero, Sage, QuickBooks, Quicken, TurboCash, TurboTax, etc.
For more info, contact us now.
Frequently Asked Questions
To access the payslip in Xero, here is the step-by-step tutorial:
- Firstly, log in to My Xero account.
- Select My Payroll from the menu.
- After that, tap on the Payslip tab.
- Now, select the Payslip you want to access.
- Then, tap the payslip to download it as a PDF file.
Finally, click the Print or Save button.
To pay an employee on payroll, follow these steps below:
- Select the Pay Run option from the Business menu.
- Then, open the Approved Pay Run from which you want to pay.
- After that, click the Amount next to the employee.
- Complete the required fields under the Make A Payment tab.
Finally, tap the Add Payment option.
The early plan of Xero payroll allows you to pay up to 5 employees. The number of employees you can pay will depend on Xero payroll pricing UK.
