by Simon

March 31, 2020

R&D tax credit specialists Stoke-on-Trent

When wanting to document the actual time of a staff member consumed on an R and D endeavour it is necessary that the share of time is as correct as you can.

There are free tools which enable you to document the actual time a worker utilizes on a project and these may be used.

You are able to claim 230% of director and team wages who are actively involved in a Research and development project. Workers costs are a permitted cost for the purpose of Research and development.

Almost all of the time, people will find themselves having several responsibilities within their work duties.

It is really important that a fair assessment of their time is determined for inclusion in your claim.

Let’s take a closer look at the two different types of employee costs:

  • Workers making contributions to resolving the scientific challenge in the project directly
  • Followed by support staff members who’re involved in the work in some other way e.g. an assistant loosely related to a project in some capacity. In simple terms, an employee engaged in qualifying indirect functions.

Whenever assessing the stats you should evaluate the nature of their role in the project and also the time-span they were needed.

Now let’s look at some questions you can ask yourself:

  1. What Research & Development actions did the worker carry out?
  2. How much time did they spend working in the endeavour?
  3. What qualifying assignments did the worker work on during the time?

Documenting team members expenses in a project

Clearly, keeping control of every intricate section of a Research and development project can from time to time be difficult. All too frequently day-to-day business activities get in the way.

Let’s be realistic you’ve got a firm to look after and paralysis by analysis has put many companies out of business.

Most businesses have spent company money on business improvement ventures and only come to understand after the event that they may have the ability to recover some of their expenses.

All too often, we see many companies getting bogged down with other tasks and losing out on potentially tens-of-thousands of pounds in R&D tax benefit.

Trying to unravel the exact quantity of time a worker has invested in a project can be difficult.

It is really important that tasks are assessed correctly and employees units of time are written down properly. Make certain there is some corroborating info to support and if you’re uncertain, we’re able to help.

Where granular timekeeping data aren’t obtainable evaluate what stats can be obtained and apply a level of critical reasoning. Can you practically justify 100% of peoples time through the length of the plan?

As we have pointed out, you’ll find free tools available that can help with the monitoring of plans. Clockify is one such tool and can be investigated here: https://clockify.me/

Where we fit into the process is that we actively help our customers develop better processes so that year-on-year your award is safely enhanced ensuring no stone is left unturned.

When logging your workers period of time an assignment many times, it helps you to do this concurrently alongside the project.

Relying on guesswork to determine employees time certainly is dangerous territory. You ought to have some practical justification for the allowance of time put to use. We recommend that you look at the venture as a whole and then work backwards from that point. Who is required to be involved and why?

At all times, you ought to make certain that the time recorded is genuine so as not to falsify a claim which would leave your company subjected to a minefield of risk later on.

Our team are happy to ‘hold your hand’ and provide the down-to-earth information and support you need to safely boost your claim.

If you need more tips on logging staff time in a project, feel free to send an email as our friendly team of experts will be very happy to help you.