Level 3 Diploma In Payroll

Introduction

The overall aim of the qualification is to accredit candidates' knowledge and understanding of the fundamental principles relating to the basic calculations and preparation of both weekly and monthly payrolls, using manual routines and utilising the HMRC CD-Rom and Calculators. In addition, it accredits some book-keeping skills of candidates in performing the routine tasks of calculating the cost of wages to the employer.

Within the qualification, candidates have the opportunity to expand their knowledge of income tax and National Insurance calculations for the PAYE employee including directors, and their understanding of other fundamental procedures introduced at Level 2. Candidates are also introduced to the implications for the employee of receiving expenses and benefits from their employer and the processing of month end and year end procedures. The syllabus also deals with the treatment of termination payments, and the practice relating to both further routine and some non-routine tasks including analysis of departmental wages costs and an introductions to Pension Administration.

This qualification requires candidates to understand those payments which constitute Gross Pay and therefore liable for income tax and National Insurance contributions.

The manual processing of more advanced payroll data, such as changes to hours worked, increased hourly rates of pay, bonuses and commissions are important elements of the IAB Level 3 Diploma in Payroll qualification.

Candidates may progress to the IAB Level 2 Certificate in Computerised Payroll and/or the IAB Level 3 Diploma in Payroll on successful completion of this qualification.

To be awarded the qualification, candidates are required to successfully demonstrate their competence in by means of one external examination. Candidates will receive acknowledgement of successful completion of this qualification by means of formal letter and Certification.

Unit Specification Iab level 3 - Diploma in payroll

Single unit- managing payroll administration

Aim of the Unit
Upon the completion of study for this unit, it is intended that the candidate will be able to:

• Understand key organisational procedures
• Process exceptional and further additional payments
• Make termination payments.
• Administer pension deductions
• Calculate Directors National Insurance contributions
• Perform end of month procedures
• Process benefits in kind and expenses for
• Perform end of Year procedures
• Prepare payroll related Management Reports.
• Understand confidentiality, security and other statutory legislation