Payroll Year End Process Checklist

13 Mar 2024

Payroll year end can be a complex process, but here at Prime we are committed to supporting our clients through the process.

Our Chartered Institute of Payroll Professionals (CIPP) certified specialists have compiled a handy payroll year end checklist to help simplify the processes and procedures you need to complete.

This includes all the tasks you need to complete and the deadlines you need to be aware of.

Read on to learn how to prepare payroll year end.


What is payroll year end?

In the UK, the tax year runs from April 6 of one year to April 5 of the next.

Payroll year end marks the conclusion of the tax year for payroll purposes and signifies your final submission to HM Revenue & Customs (HMRC).

During this last submission, you must provide additional details including Full Payment Submissions (FPS) and Employer Payment Submissions (EPS).

Payroll year end tasks include:

  • Reporting to HMRC for the previous tax year (ending on April 5)
  • Checking leavers and new starters
  • Distributing P60 forms to employees
  • Preparing for the start of the new tax year, commencing on April 6


Your step-by-step guide to payroll year end procedures

Follow the steps below to simplify your payroll year end process and ensure all information is accurate and up to date.

When is your payroll year end?

The frequency of pay periods can differ depending on the employer's chosen payment schedule, such as monthly for salaried staff and weekly or fortnightly for hourly rate staff.

The timing of staff payments can affect payroll year end processing and tax implications.

Do you have a Week 53?

As 2024 is a leap year, you may encounter a week 53 payroll when paying your weekly, fortnightly or four-weekly payrolls.

A week 53 payment occurs when there are 53 weekly pay days in the tax year. 

Keep employee records updated

Make sure all employee information is current and accurate.

This is to ensure your employees are paying the correct amount of tax and National Insurance, and receiving statutory payments where eligible.

  • Check for leavers and new starters
  • Changes to employee tax codes
  • Ensure pension contributions are up to date
  • Check holiday and leave are accurate for all employees
  • Be aware of bonuses and overtime

Stay informed of changes to payroll procedures

Stay up to date with legislative, tax, compliance and payroll law updates.

These changes can impact personal tax allowance rates and thresholds, National Insurance contributions and more.

At Prime, we keep updated on changes to payroll by attending industry seminars, webinars and training courses to ensure our knowledge and advice remains relevant.

We understand changes to payroll legislation and procedures can be difficult to keep on top of, so we’re here to provide advice and support when you need it. Learn more about our payroll services and speak to our experts.

Prepare for reporting

Be ready for annual reporting obligations by anticipating requirements.

This includes reporting on the previous tax year (ending on April 5) to HMRC and providing every employee with a P60.

Conduct reconciliation checks

You need to double-check your payroll transactions for accuracy.

The reconciliation process ensures your payroll report matches the amount paid to employees.

Engage with employees

Keep your staff informed about upcoming payroll changes and how they may be affected.

Manage holiday payroll processing

Always plan holiday payroll schedules in advance.

Assess internal processes

Evaluate your payroll procedures regularly to identify ways you can improve and streamline procedures.

Develop a checklist

Creating a personal payroll year end checklist can help confirm you have completed all the necessary steps and haven't overlooked any critical items.

Get Ready for Apprenticeship Levy payments

If you reach the Apprenticeship Levy threshold at any time during the year, submitting an EPS will be necessary.


Key payroll dates and deadlines 2024

Keep on top of your obligations by knowing key dates in the payroll calendar.

Here are some essential dates we recommend marking on your calendar to ensure a seamless payroll year end:

  • April 5 – End of the tax year
  • April 6 – Start of the new tax year
  • April 19 – This is the deadline for the final submission of the 2023/24 tax year
  • May 31 – Last day to provide employees with P60s
  • July 6 – Deadline for reporting benefits (P11D and P11D(b))


Updates to payroll

Every tax year, HMRC introduces updates you need to be aware of to maintain compliance.

These revisions might include changes to the following:

  • Personal allowance thresholds
  • Income tax rates
  • National Insurance contributions
  • National Living Wage
  • National Minimum Wage

Staying informed about these adjustments is vital to avoid discrepancies or complications with HMRC. Review all rates and thresholds for 2024/25.


Are you ready to outsource your payroll?

At Prime, we understand the importance of outsourcing payroll during the year end process. 

Delegating your payroll responsibilities to us can significantly alleviate the stress and workload associated with the tax year end.

We have the expertise and resources to manage all payroll tasks accurately and efficiently, ensuring full compliance with HMRC regulations.

From data collection and reconciliation to report preparation and document submission, we can handle it all with precision and reliability.


Advantages of outsourcing payroll services with Prime:

Time and cost efficiency:

Outsourcing your payroll tasks to Prime allows your internal team to focus on other critical business tasks, saving time and reducing expenses associated with hiring and training in-house payroll staff.

Compliance guarantee:

Prime's professional payroll team are well-versed in tax and payroll legislation, ensuring complete compliance with all HMRC requirements.

Expertise and experience:

With Prime, you benefit from a wealth of knowledge and experience in payroll management, providing peace of mind and assurance in our capabilities.

Enhanced accuracy:

Prime utilises advanced systems and software to maintain the highest level of accuracy in all payroll tasks, ensuring precision and reliability.


Find out more about our payroll services, or for more information email Martin Farrell, Prime’s Senior Payroll Manager: