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BSkyB deduction from earnings case study
One issue employers face is finding the best way to make Deduction from Earning Order payments to the Child Support Agency (CSA). Although the Agency offers a number of payment options, one of the easiest and quickest is individual BACS payments. BSkyB recently changed to this method of payment and their Payroll Manager, Brian Sparling described the transition as a "great success".
BSkyB make on average around 120 Deduction from Earning Order payments each month and had been paying by cheque. This meant that payment processing could take up to two weeks, leading to calls from parents with care to both BSkyB and the CSA. To address this BSkyB initially changed to making one BACS payment for their DEO's along with the necessary schedule of individual employee payment amounts. This reduced the processing time but meant that they had to fill in a schedule each time, which did prove time consuming.
Brian contacted CSA to discuss simpler ways of making electronic payments. CSA advised that the best solution for BSkyB would be to change to individual BACS payments where the employer sends the Agency a payment for each separate employee which removes the requirement to send a payment schedule.
It was pretty straight forward. We have weekly payroll and monthly payrolls here so we tested it on the weekly payroll first. There was lots of support and contact between myself and the CSA when we set this up for the first time
explained Brian.
Changing to individual BACS means BSkyB has a simple, fast and secure method of payment in place - and the new service has proved to be a great success. As Brian says:
It's fantastic. We no longer get queries in the payroll department asking if we've made the payment or when we made it because the payments just go automatically and directly into the right CSA accounts.
It's cut down on queries from the CSA and BSkyB employees; it's also reduced calls from the parent with care. It has certainly saved a lot of time. Payments go automatically when we run our payroll. We double check the amounts before we send the BACS payments, but that's it. The payment is automatic. I'd recommend it.
For more information on individual BACS and how to make the switch to an easier way of making Deduction from Earning Order payments to the CSA, please contact our employer helpine.
