Centurion Payroll Services

How to Pay Subcontractors on Time Without Running Payroll In-House

Outsourcing CIS payroll to a specialist provider is the simplest way to pay subcontractors on time without running payroll in-house. With Centurion Payroll, agencies send us a schedule of payments due, including worker details, hours or days worked, and rates. We then invoice, confirm approved hours with workers by text, process payments using faster payment once funds are received, and issue secure pay advice.

For CIS subcontractors, we also manage the compliance side, including making the necessary deductions and paying what is due directly to HMRC. Our approach is reliable, flexible, personal and compliant, helping agencies and contractors make sure subcontractors are paid accurately, on time, every time. 

Review our article What Are The Differences Between Agencies, Contractors and Subcontractors, to find out what the differences are.

Why is it simple

The simplest way to pay subcontractors on time without running payroll in-house is to outsource your CIS payroll to a specialist payroll company. 

CIS payroll is a specialist scheme set up to help with payments between contractors, agencies and subcontractors in the construction industry, it either be handled in-house or outsourced to an independent CIS payroll company such as Centurion.

In our article What Are The Differences Between Agencies, Contractors and Subcontractors, we break down what a subcontractor is, so you know and understand how this works.

Our approach is built around “making sure your workforce gets paid on time, every time” through compliant CIS payroll services. We provide an outsourced payroll UK-wide service to support companies and make sure workers are paid accurately, on time, every time, and this is how it works:

How The Process Works

The process starts with the agency sending Centurion a schedule of payments due. This typically includes the worker’s name, hours or days worked, and hourly or daily rate. Centurion then issues an invoice for those payments, including VAT.

Once the payment schedule is received, Centurion texts every worker to confirm the hours approved by the agency and to advise when payment can be expected. When payment is received from the agency, we immediately process the payments, using “faster payment” so the money clears in the worker’s account almost immediately.

At the same time the payment is made, the worker receives a second text message confirming the net amount paid. We also email a pay advice, so the worker has a full record of payments and deductions, with the pay advice password-protected to ensure confidentiality.

For CIS subcontractors, we also handle the compliance side. Once a subcontractor has registered with HMRC as self-employed and received a UTR number, Our CIS payroll company will make any necessary deductions and pay what is due directly to HMRC as advance payments toward individual tax and National Insurance contributions.

The advantage for agencies and contractors is that they do not need to navigate the payroll process themselves. 

CIS Payroll Cost Calculator

What Could CIS Payroll Admin Be Costing You?

Estimate the cost of managing subcontractor payroll in-house. This calculator separates the cost of payroll admin time from the full monthly cost of a dedicated payroll/admin employee.

Your payroll details

Time and admin assumptions

Your estimated in-house admin cost

Estimated monthly cost of payroll admin time £0
Full monthly employee cost if payroll needs a dedicated role £0
Estimated yearly cost of payroll admin time £0
Full yearly employee cost if payroll needs a dedicated role £0
Estimated admin hours per month 0 hrs
Loaded hourly admin cost £0
Admin time cost per subcontractor per pay run £0
How to read this: the monthly cost of payroll admin time is based on the estimated hours spent on CIS payroll, multiplied by the loaded hourly cost of the person doing the work, plus software/tools. The full employee cost shows what a dedicated in-house payroll/admin role could cost each month.

A Message From Our Director

Dave, Managing Director of Centurion Payroll says “CIS payroll can be complicated and difficult, outsourcing construction payroll services can save contractors time while ensuring CIS deductions are paid correctly, in full compliance with HMRC, and that subcontractors and staff are reliably paid on time without issues. Our aim is to keep it simple and reliable.”

“We’re also very flexible. We work around each agency’s preferred way of working, accommodate timescales that suit the business, do not dictate deadlines, and run multiple payrolls every day of the week so workers can be processed immediately once invoices or payments are received.”

Keep Subcontractor Payroll Simple

In short, paying subcontractors on time without running payroll in-house means sending the payment schedule to a specialist outsourced CIS payroll provider, letting them invoice, notify workers, make deductions, pay HMRC where required, process faster payments, and issue secure pay advice. The way we do this is simple. We’re reliable, flexible, personal and compliant payroll, with accurate payroll on time, every time.

Take a look at our article What Are The Differences Between Agencies, Contractors and Subcontractors, to find out more about how it all works.

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