Fancy some visual assistance?
Watch our handy tutorial video for Setting up Payroll Runs in Crunch.
Please note: Payroll Runs are used to pay salaries to limited company directors only. If you have employees within your company, you’ll need to speak with our Crunch Payroll team or contact your client managers.
Your ability to take the allowance will be reflected in your Crunch account and is based on previous earnings figures given to us when you first became a client. If you’ve used your full allowance already, you’ll only be able to take dividends from your company, as long as there is enough profit after tax in your company to do so and we strongly recommend keeping aware of your personal tax liability at all times.
Adding a new recurring payroll run:
If your salary has been enabled, you can set up a recurring payroll run. As long as we have your PAYE Scheme Reference details, you can add a payroll run by navigating to the ‘Pay Yourself’ tab and selecting the ‘Payroll runs’ sub-tab underneath. From here you can then use the ‘New Recurring payroll run’ button.
We strongly recommend setting this up as such because this allows you to automate the process.
This means you won’t need to manually create this data every month when your payroll is due, saving you precious administration time. We've got you covered by our quick clip or if you'd prefer step-by-step support please continue:
Due to HMRC's Real Time Information (RTI) legislation, businesses are required to inform HMRC of employee and director salaries in real-time. Payroll runs can now only be added for today's date or a date in the future.
In order to comply with this legislation, when you save a payroll run, Crunch will electronically file your payroll run with HMRC. For this reason, payroll runs cannot be edited once completed.
Once you've chosen a ‘payday’ date, all of the company's directors at that time will appear in the list underneath. In our example below, we just have one director. You'll notice that the ‘Basic salary’ field is populated.
This will be an amount we recommend you take, on the given date, to be as tax-efficient as possible. You can change this value to be lower if you wish, but not higher, as you’ll start to pay tax on your salary. If you still wish to take a higher salary, please contact your client manager.
To find out how that amount is calculated, simply click the blue information icon for further details.
Now scroll down to "Section 4" where you'll be able to set up a reminder for yourself, so don't forget to pay yourself when it's due!
If you're happy without the reminder, simply scroll down and select 'Save Payroll Run' and that's it.
Once you have this all set up and running you'll just need to wait for the selected payday to hit, and then continue with the process below each month. Don't forget, you've now automated the process of payroll runs every month so you'll just need to update the account with when you paid the salary out.
If you’ve already paid the salary to yourself - i.e. deposited the money in their bank account - go to ‘Pay Yourself > Payroll Runs’ and select the relevant ‘Options > Edit’ menu. From here, tick the ‘Pay’ checkbox for the relevant person and this will create a ‘Director Withdrawal’, ready for bank reconciliation:
Once you have the pay box checked, you’ll notice that 'Payment details' will populate and require you to complete the payment information to reflect how you’re paying this.
You’ll need to specify a ‘Payment Method’ and from which bank account it’s being drawn from, as shown below:
If you have more than one director in your company and wish to record that you’ve paid them in different ways (e.g. one transfer from the company bank account and one cheque), select the ‘Enter payment details per employee’ radio button and enter the various payment details for each director.
Email reminders - allows for an automatic email reminder to be set up.
Simply tick the ‘Email reminder’ checkbox if you'd like Crunch to send you details of the upcoming payroll run.
Then just specify the number of days before the payroll run occurs that you'd like to receive the reminder for:
Once you've saved your recurring payroll run, you can always find and edit the recurring payroll run (until it’s finished) under the ‘Scheduled payroll runs’ section of the ‘Pay Yourself > Payroll runs’ sub-tab.
If you need to download or email your director's salary payslips, navigate to the ‘Payroll Runs’ tab and select the ‘No. employees’ drop-down arrow (in blue) where you’ll see both ‘Email payslip’ and ‘Download payslip’ - select whichever option you wish.
Need some more help on ‘Director Withdrawals’?
Please see our helpful article, here
Trying to pay a ‘Director Shareholder Dividend’?
‘Director Dividends’ are recorded separately and away from the Payroll Runs. They need to be logged correctly, and accurately, or it could cause problems. Please check this article here for guidance.
Trying to pay a ‘Non-Director Shareholder Dividend’?
‘Shareholder Dividends’ are recorded separately to Director Dividends and away from the Payroll Runs. These need to be logged correctly, and accurately, or it could cause problems. Please see here for further guidance.
Still unsure? No problem! Take a look at our handy payroll runs video