Tag Archives: employees

Employee contracts & staff handbooks

Do you have employment contracts in place for your employees?  Do you have a staff handbook outlining your company’s policies and procedures?

If the answer is no, or if your contracts aren’t up to date, then we are pleased to be able to offer a new service to help you meet your legal obligations in this area.

Employee contracts 

Most employees are legally entitled to a written statement of the main terms and conditions of their employment, such as pay, working hours and holiday entitlement, within two calendar months of starting work.  https://www.gov.uk/employment-contracts-and-conditions/written-statement-of-employment-particulars

Staff handbook

Additional information regarding general conditions of employment, such as sick leave, pensions, grievance procedures, etc. can be provided in a staff handbook.  The handbook allows you to outline your policies and procedures in more detail and provides all parties with clear guidelines should any issues arise.

Not having these documents in place can leave employers exposed to disputes over pay and conditions resulting in disgruntled employees, difficulties in recruiting and potentially expensive employment tribunal claims.

How we can help 

We can now provide you with up-to-date, legally compliant employment contracts and staff handbooks at an affordable price.

The cost

Our fee structure for this new service is as follows:

12 months subscription, to include 4 employee contracts plus staff handbook with unlimited updates to cover any changes in employment law – £160

Additional contracts – £40 each

For more information please contact us.

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Trivial Benefits

From 6 April 2015 there will be a statutory exemption for certain non-cash benefits in kind costing up to £50.

Currently, there is no minimum cost threshold below which benefits are disregarded for tax purposes, but from 6 April employers who provides certain low value benefits-in-kind to their employees will, in some circumstances, become exempt from income tax.  This will remove the need for annual reporting of such benefits via P11Ds or PAYE settlement agreements (PSAs).
A trivial benefit will be exempt from income tax, provided that:

  • the benefit is not cash or cash vouchers per s75 ITEPA 2003
  • the cost of providing the benefit, or its average cost per person does not exceed £50
  • the benefit is not provided pursuant to a salary sacrifice scheme or any other contractual obligation
  • the benefit is not provided in recognition of the employee’s service.

The following are examples of items that may be regarded as trivial benefits:

  • a gift of flowers on birthdays, anniversaries or special events.
  • workplace drinks eg. tea, coffee available to all employees.
  • a Christmas turkey.
  • a bottle of ‘ordinary’ wine.
  • a box of chocolates.

Input VAT is reclaimable by the employer on the cost of trivial benefits made to staff.

An annual cap of £300 will be introduced for office holders of close companies and employees who are family members of those office holders. Those affected by this cap will be able to receive a maximum of £300 worth of trivial benefits in kind each year exempt from tax.

If you would like further clarification or advice on this subject, please do get in touch.