Travel Benefit

Travel benefit module for Safe tempest suite

Safe travel and subsistence module  Our travel and subsistence module, is a tax efficiency solution which increases a  workers net pay. It also lowers employment costs such as national insurance  contributions.  

Travel and subsistence is a scheme which takes advantage of HMRC  dispensations surrounding travel and other work expenses. The worker can claim  for travel expenses incurred in the course of their working day. Dispensations  are granted to individual agencies by HMRC, covering the expenses and degree  to which their scheme applies.   Under such dispensations, a deduction is made in respect of the agreed amounts  of travel and subsistence in a similar way to established salary sacrifice  schemes. This has the effect of reducing their tax and national insurance  contributions (NICs) liability. If it chooses the agency may make an  administration charge to cover the costs of scheme membership. The agency  then returns some or all of the sacrifice to the worker as a tax and NICs free  payment. The outcome is that the worker is therefore better off and so too is the  agency. 

Using the travel and subsistence module, an optional extra to the Safe Tempest  product suite, an agency can fully automate the above process. The following  key functionality is supported: 

• having the advantage of being a core aspect of the Safe Tempest suite this solution is truly integrated with the strengths of a unified pay and bill solution
• values in respect of travel, subsistence and if applicable administration  fees, can be calculated in another system and imported into Safe  Tempest, or our system can calculate these independently based upon the  daily activity of the worker 
• where payment of travel or subsistence for a specific journey are  disallowed because transport or food are provided on-site, Safe Tempest  will suppress the payment for that particular visit 
• both the level of the sacrifice and the amount of tax or NICs can be  defined by the user. The sacrifice can be calculated either as a percentage  of the pay sacrifice or of the saving in pay as you earn (PAYE) and NICs of  the worker 

Travel benefit - Safe travel and subsistence module 

Our travel and subsistence module, is a tax efficiency solution which increases a workers net pay. It also lowers employment costs such as national insurance contributions.  

Travel and subsistence is a scheme which takes advantage of HMRC dispensations surrounding travel and other work expenses. The worker can claim for travel expenses incurred in the course of their working day. Dispensations are granted to individual agencies by HMRC, covering the expenses and degree to which their scheme applies.  

Under such dispensations, a deduction is made in respect of the agreed amounts of travel and subsistence in a similar way to established salary sacrifice schemes. This has the effect of reducing their tax and national insurance contributions (NICs) liability. If it chooses the agency may make an administration charge to cover the costs of scheme membership. The agency then returns some or all of the sacrifice to the worker as a tax and NICs free payment. The outcome is that the worker is therefore better off and so too is the agency. 

Using the travel and subsistence module, an optional extra to the Safe Tempest product suite, an agency can fully automate the above process. The following key functionality is supported: 

having the advantage of being a core aspect of the Safe Tempest suite this solution is truly integrated with the strengths of a unified pay and bill solution values in respect of travel, subsistence and if applicable administration fees, can be calculated in another system and imported into Safe 

Tempest, or our system can calculate these independently based upon the daily activity of the worker.

where payment of travel or subsistence for a specific journey are disallowed because transport or food are provided on-site, Safe Tempest will suppress the payment for that particular visit.

both the level of the sacrifice and the amount of tax or NICs can be defined by the user. The sacrifice can be calculated either as a percentage of the pay sacrifice or of the saving in pay as you earn (PAYE) and NICs of the worker. 

More Information

• This module will routinely compare the payroll effects of scheme membership for the worker in establishing both savings to be made and also worker eligibility.  
• mileage can be calculated either based on HMRC scale rates, or any other agreed rates
• subsistence can be calculated on a daily basis, using the number of hours worked in a day
• where applicable, administration fee can be charged either as a daily rate for each day worked, or as a weekly rate
• payslip will show to the worker the cash benefits of being in the scheme  
• on screen payslips and scheme benefits reports in Tempest, will show the agency the cash benefits achieved from using the scheme 
• identifies workers who are not benefitting from the scheme in a particular pay period which may be due to: 

• where the module calculates the mileage due to the worker, it will monitor the length of time the worker has spent at an individual site  
• control reports exist detailing scheme membership in the areas of new members to the scheme, non members and leavers with their reason for leaving 

To find out more about the benefits of this module, the Safe Tempest suite, or our other products and services, call us on 0844 583 2134, request a call back, or contact us.