UK Payroll

[Former Member]

Hi,

Has anybody got any information on Real Time Information (RTI) which needs to be implemented by all companies in the U.K who use SAP payroll?

Thanks

Punnet

[Former Member · Accepted solution]

SAP Payroll Real Time Information - RTI

Significant changes to the way payment details are communicated to HMRC

Real Time Information (RTI) is a priority government program aimed at improving the operation of PAYE. It will make the system better for individuals and easier for employers and HM Revenue & Customs (HMRC) to operate.

The current system has been in existence since 1948 so the changes proposed are very radical and mean a restructure of how all payments and deductions (i.e. Tax, National Insurance (NI), Sick Pay etc.) are reported to HMRC.

Under the new system, all employers will have to report employee tax and NI details along with other information, to HMRC on a pay period by pay period basis, instead of just once a year at the end of the tax year. The Year End process will become simpler as it is likely that only employee P60s will need to be processed.

The data reported each pay period will include statutory payment / deduction data and data relating to Starters and Leavers in a single file. This means that the current In Year Movements (IYMV) process will no longer be required.

The channel for transmission and reporting of this data will be via BACS and the new file format will contain both the net pay data for making the deposits into employee's bank accounts, together with the statutory data for HMRC. The BACS communication will be two-way, with the Acceptance/Rejection reports coming back to the employers through BACS.

The new RTI systems will:

• make the PAYE process simpler for employers and HMRC
• enable HMRC to deal with late payments more effectively
• support the payment of Universal Credits
• make PAYE more accurate for individuals, reducing the number of bills and repayments sent after the end of the tax year
• reduce Tax Credits error and fraud

Interim Solution

In response to concerns from the software and banking industries about the timescales for developing the ISO standards for use in the BACS channel, HMRC will also accept RTI data through Electronic Data Interchange (EDI) until at least April 2014 in addition to the internet channel.

In April 2013 there will be two methods of reporting:

• Internet through the Government Gateway.
• Electronic Data Interchange (EDI). EDI for RTI will be available until at least 2014.

Future BACS Solution

BACS is the HMRC’s strategic solution for RTI reporting and they are actively working with the banking and software industries to develop a service which will enable RTI reporting through BACS. This would enable employers who pay their employees through BACS to report RTI automatically at the time electronic payments are made to their employees.

Why BACS?

• 90%+ employees paid via BACS
• Links & corroborates payment & associated information
• Validates payment & linked data
• Single channel for payment instructions & PAYE information

Timescales

HMRC will pilot the RTI service, with volunteer software developers and employers for a year, starting in April 2012. Any adjustments identified during testing will be made in Autumn 2012.

Employers and pension providers must use the RTI service from April 2013. All employers will be using the RTI service by October 2013.

The SAP Solution

SAPs proposed solution will deliver a new program based on the EOY report to support Tax reference based submission. This will enable the submission of an XML file via the government gateway. PI will be used for people on ECC6.0 and above. For system versions ECC5.0 and below, Business Connector will be used.

Additional Information

We will regularly update this page with more information as it becomes available but the following links may also be useful:-

http://www.hmrc.gov.uk/rti/employerfaqs.htm

http://www.hmrc.gov.uk/rti/news/30June2011-employers.htm

http://www.hmrc.gov.uk/softwaredevelopers/rti/improving-rti.htm

http://www.hmrc.gov.uk/softwaredevelopers/rti/internet-rti.htm

http://www.hmrc.gov.uk/softwaredevelopers/rti/index.htm

Sushilkumar.M

[Nadir · Accepted solution]

Dear Sushil

Thanks for your valueable information

Pl. suggest me what kind of config. is required to enable RTI Services

or

SAP will give support pack for the same.

We are useing ECC-6. (PI)

Thanks

Nadir

[Former Member · Accepted solution]

This message was moderated.

[harishtk1 · Accepted solution]

Sushil, this does not appear to be aguide on RTI for UK Payroll.

[stuart_campbell · Accepted solution]

As I understand it RTI is still being piloted by SAP

All the information and code for RTI is currently available in SAP notes - however some of the notes are still in pilot status

The master RTI SAP note is

1630586 - RTI Legal Change Announcement

This contains many referenced SAP notes

Other RTI SAP notes (not yet updated to the master note) are

1723546
1743366
1760754
1763064
1763606

Please bear in mind this list is not exhaustive as RTI rollout is ongoing

Best wishes

Stuart

[Former Member · Accepted solution]

The Doc is just for information on RTI or i never mention that it is guide ?

Sushilkumar.M

[harishtk1 · Accepted solution]

Sushil this document does not contain any information on RTI on UK Payroll,. It is a document from 2006. You yourself in an earlier post have given information that RTI is a functionality introduced in 2012 and will be in pilot phase till 2013. Did you review the document before posting the link?

Message was edited by: Harish T K at 9.54 AM I now find the post containing the link to the document I was referring to has disappeared, so this post may not make sense now.

[Former Member · Accepted solution]

Thanks Harish for correcting me...I think you are correct.

Sushilkumar.M.

[Former Member · Accepted solution]

Thanks Stuart

[Former Member · Accepted solution]

Hi Stuart,

Note 1630586 is not coming up as a valid note. Please advise?

Thanks

Puneet

[jayantvenkata · Accepted solution]

Hello Punnet   

The above master note for RTI is currently not in status "released for customers" Hence its not coming up in your search.

The note is getting updated with information as is relevent with respect to RTI notes and will be released in coming days.

Following are the notes as detailed in the above Master note for RTI -SAP note 1630586

Following are the notes released for Real Time information solution

1. 1624220: Real Time Information. Version

2. 1699683: RTI updates. Version 5

3. 1724387: RTI Payroll and Report enhancements. Version 4

4. 1728829: RTI proxy objects for EAS and FPS ZIP. Version 2

5. 1730393: Side Effect of RTI on IT0065. Version 3

6. 1734957: RTI updates for Payroll and Reports. Version 1

7. 1737884: RTI Payroll, FPS and EAS report bug fixes. Version 5

8. 1745611: RTI issue with NICs & FPS XML file for leaver with no pay.Version 1

9. 1746314: RTI Leaver Report update. Version 2

10. 1748871: FPS report doesn't produce XML file for leavers with nil payVersion 1

11. 1749414: Claims issue + ME NI YTD issue and Tax YTD issue for RTI.Version 4

12. 1753972: EAS ME processing for leavers. Version 2

13. 1743366: RTI Incomming P6/P9 clears Works Number in IT0065.Version 2

14. 1753858: TAX deductions for leaver and FPS reporting for leavers.Version 1

15. 1755162: ME RTI fixes for leavers + Retro pensions + payroll Version 9

16. 1752852: RTI: FPS and EPS report fixes for ECC 500 and 470 Version 2
17. 1761098: RTI: EAS hiring date problem and FPS leaver, pension Version 1
18. 1762748: RTI Leaver report problem. Version 2
19. 1766335: RTI: FPS ALV Doesn't have the employees & Address.Version 5
20. 1766837: RTI: Tax YTD and Taxabale Pay TD incorrect for Tax ref chg Version 5
21. 1765425: Zero Net pay, tax refunds and RTI Net pay incorrect Version 1
22. 1760754: RTI - Pre-tax pensions and Net Pensions for starters Version 6
23. 1749414: Claims issue + ME NI YTD issue and Tax YTD issue for RTI Version 4

24. 1771062: RTI : Incorrect cumulatives on RTINI + Irr. Ind -pensioners Version 7

25. 1723546: RTI indicator getting generated before RTI
26. 1763064: IT0070(CSL):Values of field 'Notif. Source' after

Please note that incase you are not able to get any particular note, during your search, it may be that development is currently taken the note back for rework on the same for further updation.

Please note that the RTI solution is still in Pilot phase.The above notes are meant only for customers who are piloting the RTI solution.

Since the solution is getting piloted, the user guide is also evolving.Please contact SAP for the latest Userguide.

Hope the above information helps.

Thanks and Kind Regards

Ramana

[Former Member · Accepted solution]

Thank you Ramana.

Your input has been very helpful.

Regards

Puneet

[Former Member]

As a UK Payroll customer you should of been contacted by SAP.  They have held SAP User Group Meetings over the last few months about this very subject.  There is lots of information on the SAP User Group Website about this.  If you dont have access, I would follow the notes as supplied, but you need to work with your BACS provider, its been reported by some SAP customers that their BACS Software provider are charging quite a lot of money for the change...

You need to plan with HMRC when you want to go live with RTI.

There are also some other legal changes, that I hope you are looking at implementing also, like Auto Enrolment, it would be beneficial for your company to join the SAP User Group.

Gary

[Nadir]

Dear Gary

Thanks for your information

I will check with Finance, Payroll & Legal Team

Nadir

[Nadir]

Dear Gary

Thanks for your information

I will check with Finance, Payroll & Legal Team

Nadir

[Nadir]

Dear Expert

RTI configuration guide

Kindly confirm that provided document is authentic

http://www.sd-solutions.com/RTIUserguideMay.pdf

Thanks

Nadir

[Former Member]

See if the following information is useful to you:

http://www.iprocon.de/images/stories/main/wissen/tips/HMRC-RTI-with-SAP-Payroll-UK