2. Prepare for payroll year end

How to prepare for payroll year end in Sage 50 Payroll.

This is stage two of four to completing your payroll year end. To view all four stages, visit the payroll year end 2025 hub.

The steps below take you through important steps to prepare for year end.

1. Check you're using the correct version

If you haven't updated your software yet, install the year end update, v31.00.229.

To check your version number:

1. Log in to Sage 50 Payroll as normal.
2. Click Help then click About.
3. Under Program Details check the Version Number.

If you need to update, you can find out how in our download and install the Sage 50 Payroll year end update article.

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2. Check if you have a week 53

If you pay your employees monthly, you don't have a week 53. Also, if you don't pay your employees on a Saturday, you won't have a week 53 this year.

For help with checking whether you have an extra pay period this year, visit our how to identify and process week 53 article.

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3. Process your final pay period

There are several key tasks to process your final payroll and ensure all of your year end values are correct:

• Process your final pay period and update records for all pay frequencies in the 2024/2025 tax year
• Process any leavers who left on or before 5 April 2025
   TIP: For help with doing this, follow the process a leaver and produce their P45 article. 
• Submit the full payment submission (FPS) as normal, on or before the date your employees receive their pay
   NOTE: This isn't your final submission for the tax year. You make the final submission when you process your year end. 
• If required, submit your employer payment summary (EPS) for month 12

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Director's NI

In the last pay run of the tax year, Sage 50 Payroll automatically calculates Pro rata basis director's National Insurance cumulatively. 

This is due to HMRC requirements. You don't need to do anything differently when you process a director's last payment of the tax year.

If you'd like to find out more about this and view some example calculations, visit our understanding director's National Insurance (NI) at payroll year end article.

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Next steps

You've completed your final pay periods of the 2024/2025 tax year, you can now process your payroll year end.

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