The new tax year starts on 6 April. Complete the below steps before processing your first payroll of the new tax year.
You need to send a submission to claim for employment allowance at the start of each tax year.
In the 2026/2027 tax year, the employment allowance for eligible employers remains at £10,500. This reduces your yearly employers National Insurance liability.
To check if your eligible and how to claim, read Employment allowance.
For the 2026/27 tax year, the personal allowance and emergency tax code remain the same at £12,570 and 1257L. This means you won't need to update any employee tax codes by default.
You need to remove Week/Month1 from any employee at the start of the new tax year, unless otherwise instructed by HMRC.
To check if HMRC have issued any changes to individual employees tax codes, you can log on to the government gateway.
Sign into the government gateway. For more information, read PAYE Online for employers at gov.uk.
You can either change the tax codes in the employees' record or when you process the first pay run of the year. You’re presented with a list of all your employees and their current tax codes. For more information, read Update an employee's tax code.
This is how often you produce your P32, submit your Employer Performance Submission (EPS) and pay the HMRC. This isn’t how often you pay your employees.