If you’ve accidentally added a Benefit in Kind to an employee’s Expenses and Benefits section in BrightPay, what you can do depends on whether it has already been payrolled.

1. If the benefit has already been payrolled (notional amounts on finalised payslips)

For example - if the vehicle has been included as a Benefit in Kind on finalised payslips, you’ll need to:

1. Reopen the payslips back to the point where the benefit was first applied in error. 
2. Open the employee’s record and go to the Expenses and Benefits section. 
3. Select the relevant Benefit in Kind (BIK). 
4. Click the X to the right of the BIK name/label to remove it.

If there are notional payments relating to this benefit on any finalised payslips, BrightPay will prevent deletion and show this message:

This benefit has one or more notional payments in finalised payslips, and so can not be deleted.

In that case, ensure the affected payslips are reopened and any notional amounts removed before deleting the benefit. As the taxable gross amount will change once a benefit is removed, you may also need to make an additional payment to the employee in the current tax week if they were underpaid as a result of the correction.

If the FPS has been submitted to HMRC declaring the payrolled benefit, after re-finalising the payslip again, send an Additional FPS > correction to earlier submission to HMRC for the employee(s). This will update the correct taxable gross and tax paid on HMRC records.

2. If the benefit has not yet been payrolled

If no payslips have been processed with this benefit:

1. Go to the employee’s record. 
2. Open Expenses and Benefits. 
3. Select the vehicle/BIK. 
4. Click the X to delete it.

No further action is required if no notional payments have appeared on payslips.

To remove a benefit for a leaver

For P11D benefits; simply delete the benefit from the employees record as per above instructions so long as no information has been submitted yet to HMRC (via the P11D(b)). If it relates to a previous tax year where data has been declared to HMRC for the leaver - amendments need to be done directly with HMRC on the government gateway.

For payrolled benefits; if some benefit was received by the employee during the period before they left - you will need to manually calculate the pro-rata'd benefit for the period whilst they were in employment. Ie if an employee left at the end of July, and they have received PMI during those first 4 months of the tax year; the total cash value needs to be pro-rata'd to reflect only those 4 months.

Example; PMI benefit was £600 for the year, but the employee left end of July so only had the benefit for 1/3rd of the tax year. You would need to manually change the cash equivalent amount to £200 in this example. BrightPay will not automatically adjust a benefit where no end date can be entered (unlike car benefits or loans where an end date can be entered).