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ePaper created 2017-08-11, 10:28:47 | version 1.38.0
8 BUSINESS Dental Tribune United Kingdom Edition | 5+6/2017 While there are a number of ways in which mitigation can be achieved, the process can be ex- tremely complex and confusing. As such, it is always best to employ the help of specialist accountants and Independent Financial Advis- ers such as those at the 4dentists group. Dentists like Lar may have to invest in help from the experts, but it will save him money in the long run. Next issue: Dr Mo Lar gets married and starts a family. the most from his money with no tax implications, Lar should think about investing some of his earn- ings into his pension pot. If in the event he were to exceed this amount, he would be taxed on the excess at his highest marginal rate. If his salary is increased and he starts earning above £150,000 he would be subject to the Tapered Annual Allowance. At £210,000, for instance, Lar’s AA would be re- duced to just £10,000. As such, it is worth considering how he could leverage his money to his advan- tage, especially as he plans on pur- chasing his own practice in the fu- ture. In regard to Lar’s ISA, he should ensure that he makes full use of the AA, which is £20,000 for 2017/18. With the added benefi t of no income tax on the interest or dividends and all profi ts from ISA investments are exempt from Capital Gains Tax, this is a great way to legally reduce a tax bill. Richard Lishman is the Managing Direc- tor of money4dentists, a fi rm of special- ist independent fi nancial advisers who help dentists across the UK manage their money and achieve their fi nancial and lifestyle goals. The risks of appointing a practice employee as registered manager By Ben Williams, UK For many, deciding who is going to be the Care Quality Commission (CQC) registered manager for their practice is another layer of red tape and often practice owners delegate this role to the practice manager, who is an em- ployee in the majority of cases. Ap- pointing the practice manager is an option many practices choose given that the role of CQC registered man- ager is to manage the regulated ac- tivity on behalf of the practice owner in the case in which the practice owner is not going to be in charge of the day-to-day regulated activities himself or herself. The registered manager has le- gal responsibilities in relation to that position. Indeed, he or she shares the legal responsibility for meeting the requirements of the relevant regulations and legisla- tion with the practice owner as the regulated provider. As such, the role of a registered manager goes hand in hand with managing the practice. However, what happens when the employee registered manager hands in his or her em- ployment termination notice, or is found guilty of gross misconduct and has his or her employment terminated overnight? Under CQC regulations, if a registered manager is going to be absent for 28 days or more, there is an obligation for the practice owner to give notifi cation. This should be the fi rst step taken when it becomes apparent that the regis- tered manager has left or will be leaving. From there, it is a matter of applying to CQC to appoint a new registered manager as soon as possible, whether it be the practice owner, another employee or the new practice manager. At the same time, the outgoing registered manager should cooperate in can- celling his or her registered man- ager registration. If the end of the employment was not amicable, however, this is something that may prove easier said than done. If the employee re- fuses to cancel his or her registra- © wavebreakmedia/Shutterstock.com tion, it is vital that all reasonable steps should be taken to rectify the situation. It is in nobody’s interest to have an absent registered man- ager, not least the patients’. In any event, the practice could be left without a registered manager car- rying out his or her obligations in the interim ten to 12 weeks while the application to appoint a new manager is being processed by CQC. This is not to say that em- ployees should never be appointed as registered managers, but con- siderations must be given to situa- tions in which they may no longer be employees. How can these issues be over- come? The actual process cannot be avoided, but making the tran sition of registered managers smooth without disruption is achievable. When appointing a new employee as the practice’s CQC registered manager, some important factors have to be considered, such as hav- ing a ten- to 12-week contractual no- tice period in place to provide the practice owner with a time frame in which to deal with the CQC applica- tions to change the registered man- ager—and negate the need to alert CQC to an absent registered man- ager. Specifi c provisions should be included in the contract of employ- ment that oblige the employee to do all things necessary and sign all such documents that allow for the change of registered manager dur- ing his or her notice period or/and upon the termination of employ- ment. If an existing employee has been appointed as the registered manager, practice owners should is- sue an updated employment con- tract and job description that place these obligations on the employee. As the discussion shows, it is not diffi cult to fall foul of the CQC regulations. However, by carefully drafting all employment contracts for registered managers, and hav- ing guidance through the process, disruption to the practice can be avoided. Ben Williams is a trainee solicitor at Goodman Grant in Liverpool. He works as part of the dental team on a variety of matters, including dental due diligence, CQC registration, drafting associate agreements and employment contracts, and carrying out administrative duties for the team.