Licence costs are based on the number of employees that have any benefits assigned in the return year (whether anything is reported to HMRC for that employee or not). We derive a price based on 'per employee with benefits' whereby, the higher the number of employees with benefits you have, the lower that per individual price. Prices start at about £5.90 per employee for 50 employees and scale down from there.
When agreeing a contract, we ask customers to estimate the number of employees they expect to have benefits, and we use that as a minimum commitment (there are no refunds for 'unused' licences) - this means it is in a customer's interest to estimate the highest number possible to get a good price, but not to overestimate and 'waste' licences (and hence, overpay).
If a customer realises they have not estimated high enough when it comes to reporting, we can simply extend the licence at the agreed 'per employee' price. Only in very exceptional circumstances would we consider changing the per employee price 'mid-year' - but the rate is reviewed annually at renewal time and reduced if appropriate.
Why the system's "numbers" can appear to be confusing!
The P11D Organiser keeps a count of the number of employees in the system that have benefits assigned to them, but it also counts how many of those employees have had documents printed (or emailed, or saved) – this is because you can reissue documents for the same employee as often as you want.
This means that at any one time, there are four figures that are in play:
- A – The number of reports already created
- B – New reports to issue - at some point you will be producing output for these
- C – Your agreed Licence
- D – The total number of employees with benefits in your system (A+B) - that ultimately, you will need a licence for.
To determine what value D is, you need to take the following steps:
Select the Setup filter from the toolbar
then choose All Employees with Benefits for Everybody
click the Filter button and get the number returned in the dialogue
How the system's "numbers" are managed.
When you ask the system to print employee's information which has a benefit record (or save this in a report), it adds the number of employees that have already had a report printed (A) to the number of additional/new employees it has just been asked to create and compares that to the number of licences you have purchased (C). If the total is higher, then the system won’t continue to produce anything; this is why you will sometime see a message like “You have used 100 of your 300 licences” – in this instance it would mean you are trying to create additional documents/reports for in excess of 200 new people.
The really important numbers are the total number of employees with benefits in your system (see element D above) and your licence – if the latter is lower than the former, you will need to increase your licence!