If the ERNI threshold is £8632 a year, £719.33 per month, why is an employee being charged 4p, whilst under threshold?

Hello there, @dawn-wilson.

Let me provide some information about this issue.

It's possible that you enter the incorrect NI code letter. To resolve the issue, you’ll have to review the employee's information and make sure the setup is correct.

Here's how:

1. Go to Employees on the left panel, then select Employees.
2. Click on the employee’s name.
3. On the Profile page, go to the Tax information section.
4. Click on the Pencil icon.
5. Review the information.
6. If the NI Category and Tax Code information are incorrect, enter the correct one in the NI letter and Tax code fields.
7. Make sure to select Yes in the Company director section, then choose the appropriate calculation method.
8. Fill in the fields.
9. Click on Save.

Moving forward, the director’s payroll should calculate the right amount.

Just hit the Reply button if you have any other questions. Have a good day!