What is PAYE?

PAYE (Pay As You Earn) is the system used by HMRC to collect tax through income. Employers deduct income tax and national insurance from employees’ wages and pay them direct to HMRC through PAYE.

Most businesses with paid staff need to register for PAYE with HMRC. This makes it simple to deduct tax and national insurance before any salary or wage is paid to an employee. Taxes are then paid directly to HMRC.

This is usually done every month, although small businesses can sometimes pay quarterly.

If you are a Numberworx customer your bookkeeper can set up and run your payroll and register you for PAYE. We will let you know how much you need to pay HMRC each month, and the deadline for payment (usually the 22nd).

Questions on PAYE?

If you have any questions regarding payroll or PAYE please don’t hesitate to get in touch. We will always do our best to help!