Check what your charity needs to do as an employer before you can take on staff by following these six essential steps to follow:
You normally need to register as an employer with HM Revenue and Customs (HMRC) when you start employing staff, or using subcontractors for construction work.
You must register even if you’re only employing yourself, for example as the only director of a limited company.
You must register before the first payday. It usually takes up to 5 days to get your employer PAYE reference number. You can’t register more than 2 months before you start paying people.
If your business starts employing people on or after 6 April, you’ll get your employer PAYE reference number by 17 May.
To pay an employee before you get your employer PAYE reference number, you should:
You need to tell HM Revenue and Customs (HMRC) straight away if you stop employing people.
You need to submit a final payroll return – either a Full Payment Submission (FPS) or Employer Payment Summary (EPS). You should:
You also need to:
If you start employing anyone in the same or next tax year, you should reopen your PAYE scheme by sending an FPS with your PAYEreference.
Your PAYE scheme continues to run if you stop employing staff for less than a whole tax year (eg if you run a seasonal business). You don’t need to give your employees a P45 if you keep them on your payroll.
More details can be found here
The P45 is a certificate which contains earnings and tax payments over the financial tax year up until when an employee leaves a job, and it is issued to employees by the employer. Form P45 shows how much tax has been paid on their salary for the current tax year.
You must give all employees a P45 when they stop working for you. You can either:
You can’t download blank P45 forms
Lost P45
You can’t get a replacement P45. Instead, you can use a ‘Starter Checklist’ (link below) or ask your employee for the relevant details about their finances to send to HM Revenue and Customs (HMRC)
Use this form if you’re an employer and need to record information about a new employee for PAYE
As an employer running payroll, you need to:
report to HM Revenue and Customs (HMRC) on the previous tax year (which ends on 5 April 2017) and give your employees a P60| What you need to do | When | |
| Send your final payroll report of the year | On or before your employees’ payday | |
| Update employee payroll records | From 6 April | |
| Update payroll software | From 6 April | |
| Give your employees a P60 | By 31 May | |
| Report employee expenses and benefits | By 6 July |
As the financial year comes to an end on 5th April 2016, it’s time to look at the tasks that employers running a payroll need to complete for Her Majesty’s Revenue and Customs (HMRC). You need to report to HMRC on the previous tax year (which ends on 5 April), give your employees a P60 and prepare for the new tax year, which starts on 6 April 2016
HERE ARE THE 5 ESSENTIAL TASKS AND TIMESCALE:
| What you need to do | When |
| Send your final payroll report of the year | On or before your employees’ payday |
| Update employee payroll records | From 6 April |
| Update payroll software | From 6 April |
| Give your employees a P60 | By 31 May |
| Report employee expenses and benefits | By 6 July |