Take the pain out of Payroll Year End

Staying on top of ever-changing compliance legislation, running monthly payroll and managing your day to day duties as an HR professional can sometimes feel overwhelming. 

Bit much don’t you think?

Streamlining complex payroll processes can help you to take the pain out of Payroll Year End and ensure you’ve got everything covered with our complete Payroll Year End Checklist. 

When is the 2024/5 End of Financial Year (EOFY) in the UK?

In the UK, the fiscal year runs from the 6th of April to the 5th of April in the following year. This means that April 6th 2025 will be the first day of the new tax year, marking your new VAT return period and tax year.

Self employed people, sole traders and partnerships follow the fiscal year, as does the PAYE (Pay as You Earn) system. Companies may have a different financial year as they can choose any period for their accounting year – accounting years for companies run from the date the company started trading as specified when they registered with Companies House.

So depending on whether you’re a company, sole trader, partnership, or just running PAYE, there are specific tasks you’ll need to do at the end of every financial year.

How can UK employers prepare for Payroll Year End 2024/25?

On top of following our Payroll Year End Checklist, businesses should ensure they take all the relevant actions to prepare. Check out our blog which takes you through all the key steps.

What are the key dates for Payroll Year End?

• 5th April – The most recent tax year ends 
• 6th April – The new tax year begins
• 19th April – The deadline for the final submission for the previous tax year
• 22nd April – The deadline for month 12 PAYE
• 31st May – Your employees need to have received their P60s by this date
• 6th July – Report on expenses and benefits by this date and deadline for submitting your P11D and P11D(b) forms
• 22nd July – Payment of Class 1A National Insurance contributions on Benefits in Kind need to be submitted to HMRC (19th July is the deadline if not using digital systems)

What payroll forms need to be filed at the end of the year?

As an employer, there are a few important forms to submit at the end of the financial year for payroll:

• P60: This form summarises the employee’s total pay and deductions for the tax year, and must be provided to employees by 31 May.
• P11D: This form reports any expenses, benefits or allowances provided to employees or directors during the tax year, and must be filed by 6 July.
• P11D(b): This form reports the employer’s Class 1A National Insurance contributions on expenses, benefits or allowances provided to employees or directors, and must be filed by 6 July.
• FPS: Full Payment Submission is a report that must be submitted to HMRC every time an employee is paid. It must be filed on or before each pay date.
• EPS: Employer Payment Summary is a report that is filed to adjust an earlier FPS submission, to claim statutory payments or recover CIS deductions.

What are some common payroll deductions for UK businesses?

Employers can make deductions from wages, which are known as salary deductions or wage deductions. The most common deductions are:

• Income Tax (PAYE),
• National Insurance,
• Pension contributions,
• Student Loan repayments, and
• Childcare vouchers.

The specific payroll deductions will vary depending on the circumstances of the employee and the employer.

What other admin tasks should be done at the End of Financial Year (EOFY)?

For HR and payroll professionals, the EOFY can be a great time to take stock. Check that your employee data is accurate across the business, whether that’s visa status or employment agreements. With a new minimum wage coming into effect from 1st April 2025, it’s also important to check that your employee pay will reflect that.

From a HR perspective, use this time to check in on company and individual goals for the next year. Whether that’s refreshing your company values or improving your performance review system, make sure your team is well supported to take the company through a successful year ahead.

How can SME’s best prepare for the next financial year?

Preparing for a financial year doesn’t have to be hard. Here’s a few tips to help you feel prepared for the 2025/26 financial year.

Record-keeping is crucial

How are you currently storing your data? If the EOFY comes with a whole lot of dread as you realise you’ll be searching through endless stacks of paper or digital files, it’s probably time to overhaul your record-keeping process. Consider how you can make safe and effective data storage part of the routine.

This is something that HR and payroll software can help with. Every data entry is stored securely along the way and can be accessed in a variety of forms, making downloading up-to-date reports at the end of the year a breeze. Goodbye double data handling!

Stay on top of deadlines

There are plenty of dates to be aware of when it comes to running a business, from public holidays to payroll submission dates to tax deadlines. Download our checklist for a handy reminder of all your payroll deadlines, all in one place.

See a new financial year as an opportunity

For many people, getting through the end of a financial year can seem like a whole lot of admin. However, just as spring cleaning leads to a sparkling home, think of a new financial year as an opportunity to do things better.

Here’s your chance to try new things, refresh how you organise employment and payroll, and see how your business can flourish. Plus, you’ve got a nice clear deadline to work towards. What can you do before the 6th of April 2025 to make payroll and employment easier?

Employment OS – Payroll Year End, sorted ✓

Employment Hero’s Employment Operating System (OS) is more than just a platform – we’ve taken the traditional isolated aspects of employment and integrated them into a seamless, human and AI-powered solution that empowers employers, employees and job seekers alike. 

Manage payroll cycle tasks all from one place with intelligent automation that helps you to take back valuable time spent on payroll tasks, automatically collates large amounts of data, reduces time pressures from deadlines, and ensures you stay up to date on compliance.

Ready to reinvent the way you do Payroll? Get in touch with our knowledgeable experts today.