Payroll year-end in the UK runs from the final pay period in March or early April through to the last P11D(b) submission in July. Done well, it is a slightly busier month rather than a fire-fight. Done badly, it generates penalties, employee complaints and a long shadow into the new tax year.

The year-end timetable

UK payroll years end on 5 April. Most events follow within 8 weeks.

DateEvent
Last pay period before 5 AprilSubmit final FPS marked “Final submission for the year”
Up to 19 AprilSubmit any corrections via earlier-year update or new FPS
By 31 MayIssue P60 to every employee on the payroll on 5 April
By 6 JulyFile P11D and P11D(b) for benefits not payrolled
By 22 JulyPay Class 1A NIC electronically
Before first pay run of new yearApply new tax codes, allowances, NIC thresholds

The P60 can be paper or electronic — both are acceptable as long as the employee can save and print it.

What goes on the P60

A P60 is the year-end summary for each employee in your employment on 5 April.

BoxContents
Pay in this employmentTaxable pay this year
Tax deductedPAYE income tax
Pay from previous employmentsFrom P45 brought-in figures
Tax from previous employmentsFrom P45 brought-in figures
Final tax codeAt 5 April
Student loan deductionsPlan 1, 2, 4 or 5
Postgraduate loan deductionsIf applicable
Statutory paySMP, SPP, ShPP, SAP, SPBP, SSP

Final FPS and EPS

Two distinct year-end submissions complete the cycle.

  • Final FPS — flag the last full payment submission for the tax year as “Final”
  • Final EPS — submit if you have nil payments, statutory recovery, Apprenticeship Levy or CIS deductions to declare for March
  • Match the EPS Apprenticeship Levy to the employer National Insurance schedule
  • Issue earlier-year updates (Y/E EYU is replaced by FPS) for prior-year corrections
  • Run a final HMRC liability reconciliation and clear any underpayments
  • Double-check Construction Industry Scheme returns are filed (see CIS )

Setting up the new tax year

Before the first pay run of the new year, update the system with:

New-year actionDetail
Carry forward tax codesAdd 1 to the suffix where instructed
Apply P9X upliftHMRC publishes annually
Update NIC thresholdsPrimary, secondary, UEL
Reset Employment AllowanceRe-claim each year
Refresh student loan thresholdsFor Plans 1/2/4/5 and PGL

Closing thoughts

Payroll year-end is the calmest time to deep-clean your employee data, so use the lull. Pair this with our PAYE Real Time Information article, the P11D form guide, and the year-end checklist . The HMRC Basic PAYE Tools guidance covers the basics for very small employers. See pricing for payroll software that automates year-end submissions.