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6 step Payroll Year End checklist

Payroll year end is almost upon us which means a busy period for payroll departments large and small. When it comes to processing your payroll year end there are several steps you must complete, and things you must check, before you make any submissions to HMRC. 

We have put together a simple, no fuss checklist to processing your payroll year end.

Payroll year end key dates

But first, let us remind ourselves of the key dates to adhere.

• 5th April: 2022/23 tax year ends
• 6th April: 2023/24 tax year begins
• 19th April: HMRC final submission deadline
• 31 May: Employees receive their P60s
• 6 July: P11D expenses and benefits submission deadline
• 19 July: Class 1A National Insurance contributions with HMRC

Payroll year end checklist

STEP 1: Check when your payroll ends

Does your payroll end on week 52 or week 53? 

STEP 2: Process leavers and starters

Has anyone left the business or joined? You need to check they have been processed correctly and this process must be done before you submit your Full Payment Submission (FPS) and Employer Payment Summary (EPS).

STEP 3: Process your final payroll

You must complete your final pay run of the 2022/23 tax year before you can run your payroll year end.  Once you have done this you can send your FPS, and if required, your EPS.

STEP 4: Process payroll year end

You are now ready to process your payroll year end, which must be completed by 5^th April 2023. This can be done using your payroll software by simply selecting which year you want to complete. Don’t worry, the software does all the hard work. 

STEP 5: Prepare P60s

All employees working with you on the final day of the tax year will need to receive a P60 by the 31^st May 2023. Now is the time to prepare these – we will be publishing a blog post on this in the coming weeks. 

STEP 6: Check the PX9 and start the new tax year

The PX9 is a document published by the HMRC at the start of each new tax year detailing any changes to tax codes that you need to change or carry forward on 6^th April. We published a blog post on payroll tips for the new tax year here.

Summary

Don’t assume everything is correct; it is vital to check, check and triple check all your data, dates, deadlines and information to ensure you miss nothing. 

The above six simple steps are designed to help guide you through the payroll year end process, and with the help of your payroll software the process should be stress free. 

For more information or guidance on submitting your payroll year end using your Pegasus Payroll Software please contact us here, or speak to your Pegasus Partner. 

Posted On: March 15, 2023