payroll services for small business

Can I Do my Own Small Business Payroll?

As a new small business owner, you’ll spend a lot of time trying to find solutions to business practice without the aid of professional services until you feel you can’t do it alone. That’s why Pebbles specialise in providing payroll services for small business.

One of the key areas business owners feel compelled to take onto themselves is the company payroll, whilst others straight away choose to use payroll outsourcing services. Now it is possible to set up your payroll, but you are going to have to know your way around on a computer to do it. If you are not adept at the use of computers then an outsourced service may be your better option.

Starting Out

Starting, you will need to either buy an off the shelf payroll package or use the HM Revenue & Customs online payroll scheme.

Before going any further you will need to establish if any of your employees are paid less than £120 per week, get expenses or benefits or have another job or receive a pension. If so, you will not need to register for PAYE but will be required to keep records. PAYE is HMRC’s system that collects Income Tax and National Insurance from employment.

When you run payroll yourself, you will be required to report your employees’ payments as well as deductions on each payday or before. Payroll software will work out the figures of tax and NI contributions owed. Payments usually are made to HMRC every month, unless you are a small employer that pays out less than £1,500 per month, in which case you can arrange to pay quarterly.

You will have to inform HMRC of any employee circumstance changes such as if they become a director or reach a state pension age, or when taking on new employees. You will also be required to run annual reports at every tax year-end, informing HMRC of any expenses or benefits.

When registering for the HMRC online payroll scheme, you will need to quote both your Employer PAYE reference as well as your Accounts Office reference.

Other Party Use

Of course, this may sound like a lot for you to undertake regularly, which is why many business owners entrust an accountant or small business bookkeeping solutions to handle this area for them.

The main consideration in utilising payroll outsourcing services is that they too work to deadlines to meet processing requirements not just for you, but for many clients. Accountants will sometimes be able to take upon payroll but will cost much more on time than another specialist such as bookkeeping services in Manchester. The good news is that the margins for error are greatly reduced in having a professional payroll service handling this area with HMRC and your accounts.

For those wanting their payroll handled by professional bookkeeping services and payroll services for small business, contact the team at Pebbles today.

Don't just take our word for it...

Robert Flinn, Director, The Drawing Room

“Pebbles have provided professional and personal approach to all our accounts needs from processing invoices to management accounts. Based in-house they have become a valuable asset to the business and have given us a more strategic and analytical approach to our finances.”


Lisa Heggie, The Gunnery

A massive thank you to Diane at Pebbles Bookkeeping & HR. You took the huge stress away from where do I start, with employee policies etc. You have created us a great, informative employee handbook, covering all necessary policies and risk assessments in a matter of no time and from the other side of the world too. I will definitely be in touch for any future help our company needs.

Steve Tanswell, Manchester Facades

I changed book-keepers around a year ago because of a disagreement.  I employed Diane of Pebbles and having been with the same firm for 10 years, I was amazed by how easy working with Diane was.  Not only did the change save me money but also saved me time.  Utilising new technologies (to me) have massively improved the amount of money I can claim back in VAT and has made the whole process speedier and well as easier.  Even when Diane is chasing me for information she does in a friendly professional manner.  I’m thrilled to be working with her and would recommend her to anyone.

James Balderstone, Lucid Networks

Pebbles Bookkeeping took over our bookkeeping when a full-time member of staff left the business.  Our accounts are relatively complex for a business our size because of the number of different suppliers and products we deal with, but Pebbles were able to get quickly up to speed.  We have significantly reduced our costs spent on bookkeeping activity as a result. They have also helped us move to a new accounting system (Xero), which we are already seeing the benefit of, and we’re looking forward to working with Pebbles in the future to automate more of our back-office processes.

Sam Phillips, Sam Phillips Builders

“Sean and the team at Pebbles provide bookkeeping services and do everything from processing invoices to payroll and then final accounts to trial balance.  They have put processes and systems in place that have helped the company track our projects and see if they are profitable and to help us generate better profitability and cash flow.  I highly recommend Pebbles Bookkeeping and often pass their details onto my contacts.”