HEADLINESANDDEADLINES

Looking ahead tobrighter days forbusiness

tAX OppORtUNItIES – DON’t MISS OUt

ALL YOU NEED tO KNOW AbOUt NEWchANgES tO pENSION tAX RELIEF

SpOtLIght ON FLEX It

NEWS FROM DYKE YAXLEY

www.dykeyaxley.co.uk

ISSUE 18

WELcOME tO thE LAtESt EDItION OF hEADLINES & DEADLINES – OUR REgULARNEWSLEttER thAt KEEpS YOU Up-tO-DAtE WIth ALL thE LAtESt DEVELOpMENtSIN thE WORLD OF bUSINESS, AND WIth ALL thE hAppENINgS At DYKE YAXLEY.

tONY’S A KEY MEMbER OF thE tEAM

I’m sure that like us, after a winter of flooding and misery caused by the terribleweather, you’re looking forward to long hotsummer days – and to a brighter time forall our businesses.

With the economy finally showing signs of an upturn, it’s the perfect opportunity to plan ahead for the future, and to make sure you’re making the most of all the taxbenefits that are out there.

to help you do that, you’ll find a feature inthis edition on our Senior tax planner tonyElliott – he took the brave decision to makea complete career change at the age of 40, so if anyone’s qualified to talk about stepping out of their comfort zone, it’s him!

OUR NEWESt tAX pLANNER – tONYELLIOtt – JOINED thE AccOUNtANcYpROFESSION AFtER A cOMpLEtEcAREER chANgE At thE AgE OF 40.

After owning and managing a businessbased in the county for 18 years, tony completed a degree and qualified as a certified Accountant and chartered taxAdviser.

“I have a wide range of experience in theaccountancy industry, and combined withmy personal experience of running a successful business, I am in a unique position to give technical and effectiveadvice,” said tony.

his role as Seniortax planner here at Dyke Yaxleyinvolves advisingclients on a varietyof tax issues, including corporaterestructuring, taxmitigation forgroups, and taxinvestigation work.

tony has extensive experience of makingresearch and development tax claims, particularly in the manufacturing and software sectors, and also advises on VAt,inheritance tax and capital gains tax planning.

“When it comes to dealing with specificindustry sectors, I have worked with a rangeof complex property, education, and charityand not-for-profit businesses,” said tony.

“I’m really enjoying working closely with therest of the Dyke Yaxley team and using myknowledge and expertise to help new andexisting clients make the most of the taxsaving opportunities available.”

Managing Director Laurie Riley said: “tony’s experience of running his own business makes him an invaluable additionto our team, and clients are really benefiting from his extensive knowledge.

“changing direction and retraining was anextremely brave step to take, and tony’sdedication and commitment to his accountancy career are definitely paying off.”

to give you a clearer insight into tony’s rolewith Dyke Yaxley, we asked him a few keyquestions:

If you’d like to know more, call Tonyfor an informal chat on 01743 241281or email tony.elliott@dykeyaxley.co.uk

What is tax planning and why is itimportant?

the two basic approaches to tax planningare:

• Minimising income and gains• Deferring payment of taxes as long as

possible

hMRc expects individuals and businessesto pay a “fair” amount of tax. tax planning allows you to align your financialobjectives with an efficient tax plan, soyou can identify tax saving initiatives andset financial and personal goals.

taxation is an extremely complicated areaof personal finance, so it can be easy tomiss out on tax saving opportunities –good tax planning will help you reducetax liabilities and defer tax payments.

So, who benefits from tax planningadvice?

Whether you're running your own business or just dealing with personal taxissues, keeping up-to-date with the ever-changing tax laws can be a nightmare.

Most businesses and individuals need tax advice at some point in their lives.

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At Dyke Yaxley our aim is to provide a comprehensive and reliable range ofservices, leaving you to concentrate on the more enjoyable things in life!

What are your views surrounding the Chancellor’s Budget Statement in March?

Despite the fragile state of the UK economy, the chancellor was able to offer tax breaks to most sections of thecommunity. pensioners were the big winners, with proposed pensioner bondsoffering generous interest rates, and thenew flexible drawdown rules giving freedom to retired people to choose whatthey want to do with their pension savings.

Ordinary savers will be able to benefitfrom the increase in ISA allowances and the flexibility to invest in cash andstocks and shares, while businesses can continue to obtain full tax relief on significant capital expenditure until the end of 2015. It is also encouraging to see the continued increase to the personal allowance, allowing every individual to earn £10,500 tax free fromApril next year.

Do you have any tips to make sure businesses stay ahead of the game financially?

My top tip would be to seek advice at theearliest possible opportunity in each stageof the business life cycle. good advice will make sure all available tax reliefs aretaken up, and ensure your exposure to tax is kept to a minimum.

he talks about all the tax benefits thatmany people know nothing about, and that businesses could be making more of – whether it’s research and development, school fees or propertytaxes, there’s something for everyone!

And he gives us an insight into just what difference the right tax planning can make – take a look at the advice as it may well apply to you.

In other news, there’s a spotlight on the Flex It team as you’ve never seenthem before and all the information you need on the recent changes to pension tax relief.

Look out too for the charity efforts ourhard-working team have put in, and theincredible amounts they’ve raised. We’dlove to hear from you with any issues and topics you’d like us to tackle in futureeditions, so please get in touch.

here’s to a long hot summer and sizzlingbusiness for all of us!

RegardsLaurie Riley

tIME tO LOOK AhEAD tO FRESh bUSINESS OppORtUNItIES

tONY’S A KEY MEMbER OF thE tEAM

LAURIE RILEY, MANAgINg DIREctOR

tONY ELLIOtt

FRONT COVER PHOTO: At thE DYKE YAXLEY cRIcKEt DINNER ARE FROM LEFt, FORMER cRIcKEtER AND SpORtS pSYchOLOgISt JEREMY SNApE, bROADcAStER pAt MURphY AND DYKE YAXLEYMANAgINg DIREctOR LAURIE RILEY

OUR tAX EXpERt tONY ELLIOtt hAS WARNED thAt bUSINESSES cOULD bE MISSINg OUt ON SAVINg MONEY SIMpLY bEcAUSEthEY ARE UNAWARE thAt cERtAIN tAX SchEMES EXISt.

WE cAUght Up WIth tONY WhO tOLD US AbOUt thREE SpEcIFIc OppORtUNItIES WhIch cOULD hELp YOU SAVE MONEY.

Opportunity

Research and Development Tax Relief

Shropshire businesses could be missing out on generous tax relief on research and development purely because they’re not awaretheir working practices qualify. tony says:“the relief is available to all sizes of company,with a small or medium-sized business classedas those with up to 500 employees.

“Many engineers and managers will haveheard of research and development incentives,but they generally associate them with medicaland scientific research, when in fact there aremany more activities covered by the rules.”

tony said there were several questions company owners should ask themselves, todecide whether they may be entitled to taxrelief:

1 2 3Opportunity

Education Fees Planning

parents and grandparents who face risingschool fees must plan ahead if they want to successfully fund their children’s education.

tony says: “careful planning will make paying for your children’s or grandchildren’seducation a lot less painful.

“Whether you’re a parent with a child aged over 18 who is going to university or a grandparent paying for school or university fees, it makes clear financialsense to put well thought-out plans inplace.”

he said the plan could be used not only tocover standard school and university fees,but also the additional costs such as livingand boarding expenses, equipment, tuitionfees and study materials.

“You could also use the plan to provide anest egg for children and grandchildren inthe future, to maybe help them get ontothe property ladder in years to come.

“by producing a tax plan, you can structure your approach to make sure each child’s personal allowance and lowerincome tax rating is used, rather than paying the fees through post-tax income.

“this approach will also avoid shareholdershaving to resort to withdrawing large sumsof money from their company, which isgood news as each time you make a withdrawal, there’s a tax implication.

“And those tax charges can be significant –up to 37.5% on dividend income or 47% on salary and bonus payments.”

tony says it is important to take professional advice to help safeguard your money and to make sure you makethe most efficient investments.

“the cost of educating one child can be enormous, and that’s before you takeuniforms and accommodation costs intoconsideration. If you multiply this for twoor three children, then the situation can be overwhelming.

“but by planning carefully, you can find the funds you need, but at the same time ensure you’re saving money and that your savings and investments are as tax-efficient as they can be.”

Opportunity

Property Transactions

Whether you own land and buildings personally, in a company or in another entity (perhaps a charity or sports club),you will naturally have concerns about the tax implications if you dispose theassets.

the taxation of land transactions can beextremely complicated and will depend on the type of transaction taking place.

tony says: “typically, land transactions fall into the following categories:

“At Dyke Yaxley we pride ourselves onseeking and providing the most efficientand practical solution to your tax requirements.

“We understand the tax implications of anyproperty transaction, and there is normallysomething that can be done to reduce thetax payable.”

tony says that all transactions will havetheir own unique circumstances, so it isessential to seek advice at an early stage.

“property transactions can apply to a rangeof people and industry sectors, in particularindividuals, companies, charities and sportsclubs.”

If you have any questions surroundingproperty transactions and how we can helpyou reduce the tax you pay, contact us formore information.

If you would like to know more, contact Tony Elliott, Pam Mason or Les Cox in our Tax Planning Team on 01743 241281.

these are all areas that could mean you qualify for research and development taxrelief, which would be excellent news for your company.

Tony says small and medium-sized companies receive 225% uplift for tax purposes on any qualifying R&D expenditure, and for large companies the uplift was 130%.

“If a claim creates a taxable loss, the losscan be surrendered to HM Revenue andCustoms for cash, the surrender rate having been increased to 14.5% in therecent Budget. And even better news,claims can be back-dated up to two years,so your company could receive a refund of tax you’ve already paid.

“Professional advice can help ensure youdon’t overlook any activities within yourworking practices that qualify for therelief, so it’s always worth seeking experthelp to make sure you’re not missing out.”

have you made any advances in scienceand/or technology?

Do you manufacture anything? Or have youdeveloped your own software?

Does your company use existing technologyin a unique way or have you developed anynon-software driven processes that reduceproduction times or cost, or improve scalability?

Maybe other companies have asked you tomanufacture items to help with their projects, or do you subcontract manufacturing work out to someone else?

Do you carry out any design work or have you filed any patents?

tax opportunities – are you making the most of them?

Freehold sale

grant of a long lease (more than 50 years)

grant of a short lease (less than 50 years)

Assignment of a long lease (sale or transfer of existing lease)

Assignment of a short lease”.

>> >>

tAX OppORtUNItIES

WELcOME tAX bOOSt IS hERE

INtRODUcINg XERO– A bEttER WAY tO WORK tOgEthERSmall business owners are now benefiting from a new onlineaccounting package that’s been specially developed to suit their very specific needs.

Xero has been created to give businesses and theiradvisors easy access to bank transactions, invoices,reports and VAt anytime and from anywhere viainternet connection.

Key features of the Xero accounting system are:

Mark bramall, from Dyke Yaxley said: “We have over50 clients working with the Xero package and they

have been very impressed with the benefits thesystem offers.

“We organised a seminar with the team fromXero who joined us to demonstrate the systemand how it could make a difference to local businesses, and the response was incredibly

positive.

“We are now urging other small businesses to trythe system out for themselves, and our experts are

on hand to share their knowledge to help companiesmaximise the benefits of this alternative approach.”

It is the world’s easiest-to-use accounting software

It can save your business both time and money

Facilitates better collaboration between your business and your accountants by using real-time financialinformation

Easy transfer of data from your existing accounting package

No need to buy expensive software and install upgrades

Welcome tax boost is herecOMpANIES WILL NOW REcEIVE A WELcOME tAX bOOSt WIth thE INtRODUctION OF thE gOVERNMENt’S EAgERLYAWAItED NEW EMpLOYMENt ALLOWANcE.

Under the new rules, every business and charity is entitled to£2,000 to reduce their employer National Insurance contributionsbill each year.

chris Dorricott, who is our payroll Manager, said this will be ofparticular benefit to small businesses in the county.

“the Employment Allowance was one of the most notable, andmost welcome measures to come from george Osborne’s budgetlast year. It finally came into effect on 6 April.

“It is important that companies confirm their eligibilitythrough their regular payroll process, because up to £2,000will be deducted from their employers’ class 1 NationalInsurance contribution liability each year.

“It is estimated that, nationally, the allowance will benefit up to 1.25 million businesses, and result in around 450,000businesses – or one third of all employers – being taken outof paying National Insurance contributions altogether.”

chris said: “the new allowance will undoubtedly come as welcome news to many businesses, providing additionalfunds for those seeking to take on more staff, and a reprieve for firms struggling with cashflow issues.

“to claim the allowance, employers need to notify hMRevenue and customs by completing a simple ‘yes or no’indicator on its latest payroll systems.”

More than 90 per cent of the benefit of this allowance will go to small businesses with fewer than 50 employees.

“It also means that businesses will be able to employ fouradults, or as many as 10 people aged 18-20, full-time on the National Minimum Wage without paying any employerNational Insurance contributions at all.

“there is no doubt that the Employment Allowance willreduce the barriers faced by small businesses which aspire to grow, by supporting businesses with the costs of employment.”

the allowance is available to businesses, charities and community amateur sports clubs.

MAJOR chANgES cAN bE A hEADAchE

ApRIL IS ALWAYS A KEY MONth WhEN It cOMES tO thE WORLD OF tAX ANDAccOUNtANcY, AND thIS YEAR WASNO EXcEptION.

there have been significant changesannounced to the rules on capital allowancesand second-hand fixtures, and Andrew Youngfrom Dyke Yaxley says companies must ensurethey’re up to speed.

“capital allowances give businesses the right towrite-off the cost of capital assets – such asplant and machinery – against their taxableincome. this includes plant and machinery thatis a fixture or part of the building such as lifts,air conditioning, heating and sanitary ware.”

Andrew said the changes to legislation wereactually introduced by the 2012 Finance Act,but due to transitional rules, they had not beenrequired to take effect until April this year.

“Under the legislation, claiming capitalallowances on a second-hand fixture is subject to certain conditions known as the“pooling” requirement and the “fixed value”requirement.

“Now the deadline has passed, the currentowner of the business will only be able to claimplant and machinery capital allowances on anyfixtures if the pooling requirement is met.

“this means the previous owner will needto have pooled their qualifying expenditure– either by allocating the qualifying expenditure applicable to the fixture to apool, or by claiming a first year allowanceor the annual investment allowance.”

Andrew said the past owner would need to pool the expenditure in a chargeableaccounting period in which they were stillseen as the owner of the fixture – the pastowner is considered to be the last personwho was entitled to claim capital allowanceson the property because they bought it.

“but this will not be the case if the personwas no longer deemed to be the owner

before 1 April 2012 (for corporation tax purposes) or 6 April 2012 (for income tax purposes).

“So from April this year, plant and machinery allowances will not be availablefor any future owners on any part of thepast owner’s qualifying expenditure whichhas not been pooled. If this is the case, the qualifying expenditure incurred by the current owner will be regarded as nil.

“Obviously these are major changes to a system that is already full of pitfalls and technicalities, so it’s vital to take expert advice in order to ensure you’replaying by the rules.”

MAJOR chANgES cAN bE A hEADAchE

IS YOUR bUSINESS FLEXIbLE ENOUgh tO MEEt thE DEMANDS OF thE MODERN-DAY EMpLOYEE?

It’s a question which all company bossesshould be asking themselves, according toKeith higgins from our human Resourcesteam.

“the right to request flexible workingarrangements is set to be extended to allemployees later this year, and that will bringwith it new obligations for employers,” hesaid.

“currently, anyone who cares for an adult, or who has children aged under 18 is legallyentitled to apply for such things as flexitime,or the opportunity to work from home if theyhave worked for a company for at least 26weeks.

“but when the new children and Families Actcomes into force later this year, the right torequest flexible working arrangements will beextended to all employees.”

the new legislation will require employers toconsider requests from any member of staff

with at least 26 weeks of unbroken servicein a ‘reasonable manner and reasonabletimeframe’.

Applications for flexible working can includeteleworking, going part-time, running onflexi-time, job sharing, compressed workinghours, or working just term-time hours to fit in with school holidays.

the government has also confirmed thatfrom 2015, new parents will be allowed toshare their parental leave, either taking it at the same time, or in turns.

Keith said: “the nature of the workplacehas changed significantly in recent years,with many businesses now providing products and services outside traditionalworking hours. At the same time, employees – particularly working parents – are seeking a better work-life balance.

“It is important for Shropshire companiesnot to look at this law change in a negativeway. Flexible working arrangements can bea valuable tool for attracting and retainingskilled staff. there is also evidence to suggest that it helps to reduce absenteeism,improves productivity, and boosts staffmorale.

“When you come to consider a flexibleworking policy, make sure you look at allaspects of your business, from productionto customer service. And don’t forget to set in place a timeframe to review your policy at reasonably regular intervals.”

Flexibility is the key to success

About Us

Launched in 1998, Flex initially grew out of working as part of one of Shropshire’s largest accountancy practices, Dyke Yaxley.the skills and knowledge our team acquired by working within the professional services industry has been the perfect groundingfor working with many businesses. Integrity, professionalism, thevery best services and implementing cost-efficient solutions are at the top of our list.

What we do

Flex It is based in Old potts Way, Shrewsbury, providing ItServices to a client base across Shropshire and surrounding counties. We focus on delivering It Support Services, hardware Supply, Software Supply and Installation Services.

having worked with a range of successful businesses, we havegained a wealth of experience and developed our growing team of experts. We provide a dedicated and professional service to our customers, above and beyond the capabilities normallyexpected of an in-house It Department and at a lower comparable price.

We’re passionate about making sure our clients are happy and that they have the right It Solutions in place in order to meet their personal and business needs – that’s why our friendly team of experts are on-board to support our clients in the most efficient way, delivering a committed and professional service.

Meet our team of highly-skilled and experienced technicians...

FLEX It tEAM

hERE’S A chANcE FOR YOU tO LEARN MORE AbOUt thE FLEX It tEAM, WhO ARE bASED At bRASSEY ROAD.

In the spotlight – the

Career historyAdrian joined Dyke Yaxley in 1994 and qualified as an AAt Accounts technician. his passion and interest for It led to himbeing appointed as in-house It Manager at Dyke Yaxley in 1997.

Adrian radically overhauled the DykeYaxley It system in 1998 and then identified the opportunity to outsource his team’s It skills to clients and otherlocal businesses.

Rebranded as Flex It, the company now has a growing team of technicians working for a large local and national client base,including the League Managers’ Associationand professional cricketers’ Association.

Adrian’s Fact File

If you could choose any three dinerguests, who would they be? Valentino Rossi, colin McRae and bradleyWiggins

What are your hobbies and interests?Snowboarding, swimming, football (of afashion!), eating

Who do you admire most in business?Lord Sugar and Richard branson

key responsibilities:

• Secure It solutions for business

• Directing the Flex It team

Contact Details

t: 01743 235000

E: adrian.key@flexit.co.uk

ADRIAN kEy DIREctOR

FROM LEFT TO RIgHT: thE FLEX It tEAM - SIMON DAVIES, ADRIAN KEY, SAM pAYNE, MAtt chILDERhOUSE AND VINcENt cREAN.

Career historyMatt joined Dyke Yaxley in the AdministrationDepartment, and later moved into Accountswhere he qualified as an AAt Accountstechnician and part-qualified AccA.

In 1998, Matt made a career change into It when he joined Adrian Key in launching It services within Dyke Yaxley.

After gaining technical exams and experience, Matt is now responsible for managing Flex It. he focuses on winning new business and demonstrating quality and committed customer service to Flex It’s expanding client base.

Matt’s Fact File

What did you want to be when you grew up? A Marine biologist

you are allowed to take one thing with you to your desert island, what would it be?My son Oliver

If you won the lottery, what would be the first thing you would spend your money on?Lamborghini Murcielago

Flex It team

VINCENT CREAN It SUppORt tEchNIcIAN SAM PAyNE It SUppORt tEchNIcIAN

MATTHEW CHILDERHOUSE DIREctOR SIMON DAVIES SENIOR SYStEMS ENgINEER

Career historyFrom a young age, Simon has been interested in computers and It, studyingInformation Systems at Secondary Schooland going on to complete a geographyand computer Science degree at chestercollege.

After completing his degree, Simon accepted a full-time position in the ItDepartment at Dyke Yaxley and has never looked back since. Simon is a valuable member of the team and in 2014 he will have completed 10 yearsworking at Flex.

Simon’s Fact File

Beat place ever visited? Mexico. Swimming and snorkeling withwhale sharks was the highlight!

What’s your most treasured possession?My iphone

Who is your favourite football team?Aston Villa

Contact Details

t: 01743 235000

E: matt.childerhouse@flexit.co.uk

Contact Details

t: 01743 235000

E: sam.payne@flexit.co.uk

Contact Details

t: 01743 235000

E: simon.davies@flexit.co.uk

Contact Details

t: 01743 235000

E: vincent.crean@flexit.co.uk

Career historyAfter completing his degree inEnvironmental Monitoring and protection,Vinny worked in local authority for oneyear. he was then appointed as health andSafety and It specialist for the Furrowsgroup, where he worked for eight years.

Vinny later made the decision to do sometravelling with friends, where he visitedNew Zealand and Australia, travelling andworking for two years.

When Vinny returned home from NewZealand and Australia he looked to pursue a career within It. he wasappointed It Support technician for Flex It in 2007.

Vinny’s Fact File

Who do you admire most in business?Sir John harvey-Jones

What’s your lifetime ambition?be happy and content while travelling theworld

What’s the best piece of adviceyou’ve ever been given?If you don’t ask you won’t get

key responsibilities:

• Assessing, maintaining and updating It systems and networks

• troubleshooting and repairing networks, servers and workstation problems

Career historySam joined the Flex It team in 2012. he is one of the first points of contact forcustomers who need help and support.

Sam works with clients from a wide varietyof industry sectors, managing calls thatcome into the Flex It helpdesk. he carriesout regular checks on client systems andalso configures new work stations and laptops.

Sam’s Fact File

Which actor would you choose toplay you in a film of your life?Adam Sandler or Jim carrey

Who is your favourite football team?Real Madrid

Best place ever visited?Las Vegas

key responsibilities:

• Resolving technical issues and logging Flex It calls

• Delivering It support to clients

• configuring new work stations and laptops

key responsibilities:

• Server support and troubleshooting

• client-side installations• prospecting and sales

(including quotations and orders)

key responsibilities:

• Managing the Flex It team in all areas ofbusiness

• Ensuring excellent customer care at all times

QUEStIONS AND ANSWERS WIth ADRIAN KEY FROM FLEX It

QUEStIONS AND ANSWERS WIth ADRIAN KEY, DIREctOR At FLEX MANAgED SERVIcES LIMItED

Tell us about Flex IT:

Flex Managed Services Limited (Flex It) was one year old on 1 May 2014 and we have been providing It solutions to clientsfor 15 years as part of Dyke Yaxley Limited.

In 1998 we recognised the opportunity to outsource DykeYaxley’s It services to clients and other local businesses, andsince then the department has gone from strength to strength.

to give our team more recognition and identification as a professional It solutions provider, we decided to rebrand asFlex It. We now have a growing team of qualified technicianswho have a wealth of experience working with a range ofindustry sectors across Shropshire and beyond.

ADRIAN KEY, DIREctOR

1

What kind of services do you offer?

Ultimately, our aim is to be the It provider clients thought they couldn’t afford. As a team we achieve this by deliveringexceptional It solutions. Our proactive It support packagesenable problems to be identified and rectified before theybecome an issue to the end user. We provide business owners with peace of mind, so that they can focus on the most important thing – the running of their business. Our services include support and consultancy, hardware andsoftware supply, installation services and complete networks –Everything It.

2Who do you work with?

We work with a growing range of different clients from all overthe county and beyond. Some of the businesses we work withrange from professional services, legal, accountancy, financialservices, insurance brokers, estate agents, manufacturing, software providers to leisure and tourism. So as you can see a real mix. We also work with some high profile organisations, for example the League Managers’ Associationand the professional cricketers’ Association.

3

What do you think the future willbring for IT and IT services?

Our It solutions are ever adapting. We are providing more and more cloud-based technologies. these range from hosted email solutions (Microsoft Office 365), online backupsolutions, (where we have partnered with industry leaders)through to software as a service solution, (where clients link to individual online applications), through to complete systemsbeing hosted off premises.

We are also faced with the challenge of enabling clients to access their information securely on a range of devicesincluding laptops, mobiles, tablets and web connections.

4

Why is it important for businessesto outsource their IT?

Outsourcing your It takes the stress away and immediate benefits can be gained. the pace of change in the It industryhas been astronomical and there is no sign of slow down.businesses now completely rely on their It being operational24/7. can you afford to not have professionals looking after this part of your business?

If you have any questions, please do not hesitate tocontact us directly on 01743 235000 or email me atadrian.key@flexit.co.uk.

5

pENSION tAX RELIEFhERE’S ALL YOU NEED tO KNOW

pENSION tAX RELIEF

Did you know major changes have just taken place when it comes to tax relief on your pension?

In April both the annual and lifetimeallowances were reduced, so it’s importantthat you’re clear about the new rules.

From now on, the annual allowance (that’s the cap on the amount you can put into your pension without facing taxpenalties) has been cut from £50,000 to£40,000.

the overall tax-advantaged pension savingslifetime allowance has also fallen from £1.5 million to £1.25 million.

both caps apply to contributions made from all sources, including money paid by employers and personal contributions youmake directly.

the good news though is that you may beable to carry some tax relief forward if youhaven’t used up your annual allowance in theprevious three tax years – but you’ll need to seek expert advice to make sure you’re eligible.

pENSION REVOLUtION - AUtO ENROLEMENt IS hEREDyke yaxley’s Andrew young focuses on the impact of Auto Enrolment and the need for businesses to get ahead of the game.

key things you need to consider are:You may be aware of the revolutionarychanges to pensions that are currently underway under the title of Auto Enrolment.

the workplace scheme has been launched to address the anticipated shortfall in fundsthat many people will face when they reachretirement age. Auto Enrolment demandspension contributions from both the employer and the employee. the responsibilityfor enrolment into a pension scheme will nowrest with employers – whether you have oneemployee or hundreds.

While some companies are already makingpreparations for Auto Enrolment, the generalfeeling is that many employers have greatlyunder-estimated their obligations in connectionwith the scheme and the complexities thatneed to be addressed to be fully compliant.

Depending on the size of your business, you will be advised of a specific staging date.the scheme started in October 2012 for thelargest companies and will be phased in bycompany size, with the smallest companieshaving to comply during 2017.

Employers with fewer than 50 employees must start to enrol their workers from Junenext year.

the earlier you take action, the easier theimplementation will be.

If you go over the limit, you could facetax charges on the amount paid in overthe allowance which will either be payableby the scheme or under self-assessmentby you.

When it comes to your retirement, if youhave exceeded your lifetime allowance (and there is no fixed, primary, or enhanced protection available) you couldface the following charges:

the government has introduced a new package called Individual protection2014, which will give individuals a lifetime allowance based on the value of their pension savings as recorded on 5 April this year, subject to an overallmaximum of £1.5 million.

Applications for this new package can be made right now, but it’s advisable to take advice from a qualified pensionsexpert before you take any action.

Tax charge if excess paid as an annuity:

25% on excess value, then up to 45% on annuity

Tax charge if excess paid as lump sum:

55% on excess value

Every employer with workers in the UK will be required to auto enrol their ‘eligible’employees aged between 22 and retirementage in a workplace pension scheme.

Ensure you confirm your official staging date.

Advice being given by the pensions Regulatoris that preparations for Auto Enrolmentshould start between 12 and 18 months before your official staging date.

Do you need to source a pensions provideror will you use the government’s NEStscheme (National Employment Savingstrust)? NESt is an automatic enrolmentpension scheme for UK employers of anysize.

Auto Enrolment requires input from theemployer, human resources, finance, payroll,pensions adviser and your accountant.

the regulator will impose hefty fines if companies do not comply with their stagingdate.

the scheme will generate increased administration.

Auto Enrolment is a data management exercise. Some data will be held in payroll,some in hR systems, some externally; whilesome of it will be brand new. the provisionof accurate, consistent data will be key tosuccess.

The potential effects on youraccounting:

Auto Enrolment is here and it is notgoing to go away. It is likely to have asignificant impact on your payroll system,so early planning is essential.

because of the statutory contributionsrequired by the employer, this will havean effect on remuneration planning, ieyou may wish to adjust pay awards totake into account your obligation to make pension contributions, particularly if you don’t currently make contributions.

Implementation costs associated with thenew scheme.

If you need any help to unravel the intricacies of Auto Enrolment,contact your Dyke yaxley Manageron 01743 241281.

ANDREW YOUNg

ENgLAND V AUStRALIA - IN ShREWSbURY

LEFt tO RIght: LAURIE RILEY, VERItY cRIDDLE, SUE FItZMAURIcE AND tERRY JONES

JEREMY SNApE, pAt MURphY AND DYKE YAXLEY MANAgERINg DIREctOR LAURIE RILEY

LEFt tO RIght: WILL hARRISON, pEtE gEE, MARK bROWN, MARK bRAMALL AND ROb WhIttALL

JOhN EDWARDS AND LES cOX

cAROLYN FREEMAN, DIANA pAcKWOOD AND MARIE bRAMWELL

England v Australia– in Shrewsbury!ShROpShIRE cRIcKEt FANS hAD thE chANcE tO EXpERIENcEthE thRILL OF thE LAtESt AShES SERIES A LIttLE cLOSERtO hOME thANKS tO DYKE YAXLEY.

We work closely with the professional cricketers’ Association and,as a result of this, we hosted a dinner with three special guests atthe Lord hill hotel.

Former cricketers Jeremy Snape (England) and Ian harvey(Australia) shared their memories of the game, and sports broadcaster pat Murphy was the host for the evening.

Dyke Yaxley Managing Director, Laurie Riley, said: “It was a greatopportunity for our guests to hear from both players about theircareers at both county and country level.

A raffle and auction of cricket memorabilia was also held andraised £1,023 for Dyke Yaxley’s chosen charities –the Samaritansand Stay (a local charity based in telford that helps homelessyoung people).

Jeremy Snape has combined the experience of being a successfulinternational cricketer, coach and psychologist to provide innovative performance ideas for teams and leaders.

he played ten One Day Internationals for England, and has heldroles as performance coach for the South African cricket team, as well as supporting two Indian premier League teams and theMelbourne Stars.

Ian harvey played 73 One Day Internationals for Australia and was a World cup winner in 2003. he also enjoyed a highly-acclaimed career in the English game with gloucestershire,Yorkshire, Derbyshire and Northamptonshire.

cAN YOU AFFORD tO tAKE RISKS? tAStY tREAtS ON thE MENU

IBMO – the next bigthing on the retail scenepROFESSIONALS ARE FAMILIAR WIth thE tERM MbO bUt,AccORDINg tO ONE SpEcIALISt ONLINE REtAILER, thIS ISthE YEAR OF thE IbMO.

Deadgoodundies.com is based in Shrewsbury and sells men’sunderwear around the world. Dedicated to men’s underpants, thecompany also sells swimwear, nightwear, t-shirts and loungewear,and has set out to change the way men buy their underwear.

Founded in 2007 by partners Adam Davies and Jane garner,Deadgoodundies.com has a turnover of more than £1 million –that’s more than 50,000 pairs of underpants a year!

Jane said more than 90% of their customers were male and thatwas mainly because they’d been discovered by “IbMOs”.“believe it or not, more than 50% - some studies suggest as manyas 70% - still never buy their own underwear. We want them tochange their ways so they can say ‘I buy My Own’.

“professional men who wouldn’t dream of letting anyone elsemake other important choices for them still leave their selection of underpants to someone else, or they rely on birthdays andchristmas to stock up.

“We help men to take charge of their ‘unmentionables’ by providing a huge choice of carefully chosen brands from aroundthe world, opening 24 hours a day, seven days a week, and allowing total privacy.

“Even our parcels are completely plain so only the recipient knowswhat’s inside – so come on guys, who buys yours? It’s time tobecome an IbMO!”

tAStY tREAtS ON thE MENUKIND-hEARtED StAFF FROM OUR ShREWSbURY OFFIcEbAKED hOMEMADE cAKES tO RAISE MUch-NEEDED cAShFOR OUR tWO chOSEN chARItIES.

Jackie Young, who leads our charity fund raising efforts, said:“We had a great response to the idea of a charity cake sale, and we raised over £150 in just one morning.

“the biggest seller was our Managing Director Laurie Riley’slemon drizzle cake – it was delicious and I’m sure Mary berrywould have approved!”

the money will now be split between Shrewsbury Samaritansand Stay – a telford charity that helps homeless young people.

“Earlier this year we also handed over a cheque to the Severnhospice for just over £3,100 after smashing our previous fund-raising target, so we’d like to thank everyone for being so generous with their support,” said Jackie.

At thE DYKE YAXLEY cAKE SALE ARE, FROM LEFt, JODI JONES, LAURIE RILEY AND ROb ARMItt

Well one way is to consider Fee protection Insurance. It’s aproduct that Dyke Yaxley encourages its clients to consider inorder to protect themselves and so far, almost half have takenup the offer.

the aim of the protection is to give clients peace of mind thatif they find themselves the subject of an hMRc investigation,they can rest assured that the costs will be covered.

tax legislation is becoming increasingly complex and hMRchas now adopted a targeted sector by sector approach toinquiries, so the chances of being selected are rising.

hMRc investigations are not only disruptive, they can also be very expensive, and having Fee protection Insurance inplace means companies would not be hit by unwanted and unexpected bills at what is already an extremely stressfultime.

If you’d like to know more about how this kind ofinsurance can help your business, call our experts on 01743 241 281 – they’re here to help.

WE ALL KNOW thAt FINANcES ARE tIght AND NO-ONEWANtS tO bE hIt bY UNEXpEctED bILLS – bUt hOW cANYOU pROtEct YOUR cOMpANY FROM tAKINg SUch A hIt?

cAN YOU AFFORDtO tAKE RISKS?

FOLLOW US!to keep up-to-date with the latest Dyke Yaxleynews, follow us on twitter - @dyke_yaxley

follow us @dyke_yaxley

If you have any comments onthis newsletter, suggestions for

future editions, particularclients you would like to seefeatured or ideas on how toimprove our services, please

e-mail Jackie Young at: jackie.young@dykeyaxley.co.uk

the content of this newsletteris for general information only.It should not be relied on and

action should not be takenwithout appropriate professional advice.

FEEDbAcK

DYKE YAXLEY ShORtS

1 brassey RoadOld potts Way, Shrewsbury

Shropshire SY3 7FA

telephone 01743 241281Fax 01743 235794

DX 19717 Shrewsbury

8 hollinswood courtStafford park 1, telford

Shropshire tF3 3DE

telephone 01952 216100Fax 01743 235794

www.dykeyaxley.co.ukinfo@dykeyaxley.co.uk

WELL DONE tO hAYLEY pRIcE FROM DYKE YAXLEYWhO SpENt thE NIght IN A cARDbOARD bOX –ALL IN thE NAME OF chARItY.

hayley took part in the sponsored “sleep out” to raisefunds for Stay telford.

the event took place at telford Shopping centre withthe slogan: “Sleep out in a cardboard box for just onenight so that a young person doesn’t have to”.

hayley had to stay outdoors from 7pm until 6am the next day and after successfully completing herchallenge, she raised £197 for the charity.

hayley “Stays” the course

DYKE YAXLEY’S MARtYN bRAMWELL pUShED hIMSELF tO thE LIMIt tO RAISE VItAL chARItY cASh bYRUNNINg A MARAthON.

Martyn is our Small business and tax Manager and he,and his friend Steve parton who works for Shropshirecouncil, decided to take on the ultimate running challenge.

they took part in the chester Marathon and completedthe course side-by-side crossing the line in 4 hours 49 minutes.

And thanks to their efforts, the duo have raised almost£500 so far, with more donations still to be collected.they’ve already vowed to beat both the time and the fund raising total at next year’s event!

“We wanted to push ourselves and to raise a decentamount of money for charity at the same time, so amarathon seemed like the perfect choice,” said Martyn.

“It was a great day and a huge challenge, but we’reextremely proud to have completed the course and to have received our medals.”

the money raised will go to Dyke Yaxley’s chosen charities for the year – the Samaritans and Stay telford.

“Every year at Dyke Yaxley we nominate a charity or charities and focus our efforts on raising as much cash as possible for the chosen causes,” said Martyn.

“this year our target is to raise £2,000 in total, and so our contribution from our marathon effort has been anexcellent start, and we’re very grateful to everyone whohas supported us.”

the chester marathon is the UK’s only internationalmarathon – it starts and finishes at chester Racecourse,and covers 19 miles in England and seven miles in Wales.

Marathon effort pays off

If you’ve attended a Ladies in business lunch beforeyou’ll know just how positive a network it has become,and if you haven’t, then why not come along to seewhat it’s all about. For more information visit the Lib website www.ladiesinbusiness.co.uk or emailjackie.young@dykeyaxley.co.uk.

LADIES! DAtES FOR YOUR DIARY

“hOMELESS” hAYLEY pRIcE!

MARtYN bRAMWELL FROM DYKE YAXLEY WIth StEVE pARtON FROMShROpShIRE cOUNcIL At thE FINISh LINE OF thE chEStER MARAthON

Nextmeetingdates:

Wednesday July 16, 2014 Summer Lunch

Wednesday September 17, 2014NetWalk

Thursday December 11, 2014Christmas lunch