Generally speaking, dispensations are good news for anyone who works in Pay as you Earn (PAYE). However, whilst it is worth going to the trouble of getting a dispensation and saving yourself work year after year, the actual business of applying for one can be unnecessarily complicated, as are many things associated with PAYE. As with all work of such a technical nature it is worth employing an expert to do the job in order to be certain that it’s done correctly. This is why so many businesses are considering, or have already started, payroll outsourcing.

A dispensation is effectively a written statement from H M Revenue and Customs excusing a company from the need to report certain benefits and expenses on the form P11ds and P9ds each and every year. Many businesses do not go as far as they could when they apply for a dispensation and end up having to report many things which could be avoided.There are certain duties which will need to be undertaken before a dispensation can be granted by the Revenue. Indeed, the opportunity is often taken by the Revenue to check on all of a company’s PAYE procedures and reporting when they apply for dispensation.

Payroll outsourcing will not only ensure that full advantage is taken of the benefits afforded by the Revenue’s system of dispensations; it also takes away the need to employ expensive specialist staff to handle the complex work involved.
We at Dataplan are a leading payroll company who specialise in payroll outsourcing. In fact we have won awards for our skills from no less a body than the Institute of Payroll Practitioners. We have specialist expertise in operating payroll in sectors such as education, hotels, security and solicitors.
With PAYE being as complicated as it is, it’s always best to use an expert company in order to avoid the many pitfalls.