How To Setup Big Red Book Payroll

Company Information is set up by selecting the Settings Icon, and clicking on the Company Tab.

Complete Company Name, Address, Contact Name, Telephone number, Employer Registered No., G.C.D. (General Claims District) These details are required by the Revenue Commissioners when submitting returns via the Revenue Online Service (ROS).

There is also a section for information required for the creation of a CSO Survey.

Click on the Employees icon to Add or update Employee records.

It is important that all sections are completed correctly

Particular attention should be paid to:

1. Auto Update facility, which can be found on the Main tab of the employee card. This will allow you to

automatically update the time-sheets each week.

2. Options under PRSI Info. These settings impact PRSI Calculations

3. Tax Credits
4. Standard Rate Cutoffs for Tax and USC

Local Property Tax (LPT) is displayed on this screen for convenience only. It is entered in the Deductions

tab or updated automatically when a Tax Certificate is imported from Revenue.

5. Basic Rate. This is the employee’s basic rate of pay and should reflect how they are paid. If an employee

is paid hourly, this will be the hourly rate, if paid monthly then this should be the monthly gross pay.

6. Hours Factor – the number of hours the basic rate applies to. This is important to enable the calculation

of ‘Hours Worked’ for CSO returns.

7. If an employee starts after January 1st Start Date should be entered, if the employee has worked

previously in the current year then the PAYE/PRSI History section must be completed.

8. If an employee is paid by PayPath the bank account details must be entered in the ‘Bank’ tab.

10. CSO Analysis and Hours Factor should also be updated. If you are selected to complete and Earnings,

Hours and Employment Costs Survey for the CSO having this data entered correctly make it much

easier to extract accurate data from your payroll.

The calculator symbol on some fields, such as Tax Credits, is a pop-up calculator.

This section sets up the different categories of pay and how they are handled.

Description

Description, appears on the timesheets screen and on the pay slip. The Rate and Rate Type columns work together to

determine how to calculate a particular payment category. If the Rate Type is “M” (Multiplier), then that payment is the

rate x the employee’s hourly rate of pay.

Rate and Rate Type

If the Rate Type is Amount, then that particular payment category is treated as a literal amount e.g. expenses. If Rate

Type is Multiplier then the employees Basic Pay is multiplied by the value in Amount e.g. normal pay (per hour) would

be 9.65 x 1; overtime might be 9.65 x 1.5.

Taxable

Is this pay element subject to income tax?.

PRSI Exempt

If the pay element is exempt from PRSI (e.g. Expenses) this is ticked.

USC Exempt

If a pay element is exempt from USC this is ticked.

BIK

Determines whether or not a particular payment is a BIK element.

Med Ins.

This indicates if a BIK is for Medical Insurance. This is required for the P35 return.

Shares

This indicates if a BIK is for Share-based remuneration in this company.

Share-based remuneration is not subject to Employer PRSI.

This is required for the 2017 P35 return.

CSO Type

A drop-down list is given of all the CSO Types applicable. A CSO Type should be assigned to each pay rate.

The amount of the National Minimum Wage is also maintained on this page. The system is set to €7.65, which is what

we believe it will be as of January 2011 but should be changed should the National Minimum Wage changed. This is

required for accurate calculation of data for the CSO Earnings, Hours & Cost of Employment Survey.

Some pay examples for an employee earning €5.25 per hour:

There are some rates of pay already set-up. These can be changed as required and new rates of pay added as

required. Use the mouse to click on the last row and use the down arrow key to add a new pay rate.

The Departments section simply stores a list of departments, which can be used as cost centres for

employees. Employees can be assigned to any department.

Simply type the name of the department in the “Department Column”.

To add a new Department, click on the last entry, and press the ‘down arrow’ key on the keyboard. A new line will now appear.

Records various information and passwords.

On this screen you can:

-Change the system password.

-To enable a Mid-year startup you must tick the box above.

To use the PayPath facility you must register with your bank for Electronic Funds Transfer (EFT) and/or

SEPA.

Please note that if you have previously used EFT and a switching to SEPA a new registration with your bank

for SEPA is required.

There are two formats for PayPath:

Standard 18 is the national electronic payments system used only in the Republic of Ireland and is being

phased out.

SEPA is a new electronic payments system being implemented in the Single Euro Payments Area and will

be the only option available from February 2014.

To use SEPA ticked ‘Use SEPA’

Your bank will provide you with an ‘Owner Identifier’ for Standard 18 or a ‘SEPA Originator Number’, unique

to you, which is necessary for the bank to process the PayPath file you will produce. When all the necessary

information is provided you will be able to produce a file with all your payroll information and your bank will

process this file to make the payments to your employees by Credit Transfer.

Company Data for SEPA

SEPA OIN (SEPA Originator Identifier Number)

This is provided by your bank when you register for SEPA, sometimes referred to as ‘Creditor Identifier’.

File Reference

Each SEPA file must have a unique File Reference, this enables the bank to check for duplicate files being

submitted and is also used when reporting any issues with a transaction.

When a file is being submitted the system will append the date and time to this reference.

Bank Account Name

Treatment of non-standard letters varies by bank.

The options are to Leave, Replace or Strip Out any characters outside the standard character set.

All deductions apart from PRSA are entered in the Deductions Tab i.e. Pension, RAC (Retirement Annuity

Contracts) and PRD (Pension Related Deductions for public sector employees).

PRSA setup details are entered in PRSA Setup tab.

Pension Tracing Number

All employer sponsored pension schemes are registered with the Pensions Board.

When registered a Pension Board (PB) reference number is assigned. This number should be entered here

so it can be reported in the P35.

The inclusion of Pension Tracing Number will facilitate employee tracing their pension entitlements.

PRD – Pension Related Deduction applies only to Public Sector employees

Due PRD Refund? This is for new item (2016) for P35 information purposes only – it has no bearing on

processing of deductions.

Local Property Tax

The total Local Property Tax is entered or updated automatically when a Revenue P2C file is imported.

If a PPSN has not been entered for an employee, Local Property Tax cannot be entered.

The amount deducted from pay is displayed and the balance due.

Local Property Tax is deducted in equal payments up to the end of the year.

Parking Levy deduction must be entered in the box at the bottom of the screen as it reported separately for

Revenue.