Xero has been working closely with Inland Revenue (IR) and will be payday filing ready, providing a simple way to meet your payroll reporting requirements each pay cycle.
What is payday filing?
From 1 April 2019, employers must send employment information to Inland Revenue every pay day instead of an Employer Monthly Schedule (IR348).
The aim of payday filing is to add Inland Revenue’s information requirements into your payroll processes, rather than it being a separate step. This will help:
- reduce the steps associated to processing payroll
- reduce the likelihood of errors when filing and therefore, the chance of incurring penalties
How will payday filing work in Xero Payroll?
Xero has worked closely with Inland Revenue to design a simple payday filing solution that we think employers will love. Here’s a quick demonstration:
- Payday filing will happen automatically, each time a pay run is completed in Xero Payroll
- It’s easy to set-up. Xero Payroll admin users will be prompted to confirm their payday filing connection with IR, by logging in and authorising it in myIR. After this, you won’t need to log in to myIR for future pay runs
When will I be able to payday file from within Xero Payroll?
The payday filing feature will be live and available to set-up week commencing 18 March 2019.
Once the connection is established, payday filing will start automatically for any pay runs that have payments made to employees and contractors from 1 April 2019.
Between now and then we are continuing to fine tune the feature and go through beta testing to ensure our product is exactly what you need, when it goes live.
What can I do to prepare?
We recommend joining one of our free ‘Getting ready for payday filing’ webinars. We cover everything you need to know to prepare for the change, with time to answer your questions at the end. You can also go through this preparation checklist.
We’ll be sure to keep everyone posted on our progress via our blog and community forum as we get closer to the live date.
Read more about Payday filing here.