As the world continues to watch on, Brexit enters yet another countdown to meet the 31st October 2019 deadline. The British Government updated its website, www.gov.uk with the following statement:
Many of you will remember the madness that ensued as small business owners and large corporations from all over the world scrambled at the end of 2017 to comply with the EU’s deadline to comply with new Data Protection Regulations in May 2018 (Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data). Just over a year on, the EU and individual member states have researched the outcome of implementation of new protocols with mixed reviews.
We have discussed in past issues the serious battle Social Security has on its hands. Although we may complain about the amount of money we pay each month towards our Social Security contributions, they are essential if we want to receive our well-earned pensions come retirement age.
When a business owner hires an employee, they do not only have to take their salary into account when calculating costs, but a portion of Social Security and a quarterly tax amount must be factored into the overall expense. These two concepts are based on a percentage of said salary so it stands to reason, the fewer hours the employee works, the lower their salary and the lower the taxes to be paid out by the business owner.
If as a business owner you have employees, you may have received communications from your Advisors to implement a method to register your employees regular work hours as well as overtime as per Royal Decree 8/2019, 8th March, to be enforced from 12th May 2019. Why has this come about and what is the point of registering employee work hours?
The life of a business owner is full of responsibilities and obligations and sometimes it is difficult to be sure every aspect of our business is accounted for or under control. One of the queries I hear a lot has to do with third-party liability insurance. The saying goes, nothing in life is certain besides taxes and death but I think we can also include insurance here; whether it is for our cars, houses, health, life and a wide variety of other possibilities, we can say for sure that insurance policies are an integral part of our existence whether we want them or not and the same should go for our businesses.