We know how important good staff are to the licensed trade. Your success as a business can depend on the service you and your staff provide, especially in the environment of Social Media, where bad reviews can circulate all over the country and world. Therefore, it’s important to your business to ensure you have the best staff. But due to the tight margins that the licensed trade often faces, this often transpires as the best staff at a reasonable cost.
It is with this point in mind that the increase in the national minimum wage is of importance. In April 2018, the national minimum wage will increase from £4.05 to £4.20 an hour for under 18s (who might include glass collectors), from £5.60 to £5.90 for 18-20 year olds, £7.05 to £7.38 for 21-24 year olds and £7.50 to £7.83 for over 25 year olds. These new figures need to be factored into any budget forecasts for the new Financial Year, with potential increases to staff costs budgeted for.
As the holiday seasons, including Christmas, Easter and the Summer, seem to be the busiest times for the licensed trade, maximising the use of students (due to their age) could help to keep your staff costs down, ensuring the largest profit is made at these busy times. However, as students often are away at University part of the year, returning home in the holidays, we can advise how to best set them up on your payroll system. Alternatively, our expanding Payroll department can process your payroll for you, ensuring payroll procedures and documentation is submitted with HMRC on time.
If you start planning for the increase in the minimum wage now, it’s implementation in April should run smoothly for you. In the meantime, we are available to advise you on any queries that you might have.