The Payroll Year-End Procedure (starting Apl'24)

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Your end-of-the-year procedure for the payroll should shortly be due to be completed. We would remind you that the procedure should consist of the following:

N.B. If your Easter holiday falls at the end of the tax-year. Note that you must NOT add holiday pay to weeks 51 or 52 which would normally be holiday pay for week 1 or 2 of the New Year. The pay for weeks of the two years must be kept separately. I.e. enter only holiday pay in weeks 51 or 52 that will complete the last week of the year. Then close the payroll in the normal way and complete the year-end procedure. Finally run week 1 of the New Year and enter the remaining holiday pay. Failure to do this will lead to the payments for year ending APL 23 being overstated and payments for year ending APL 24 being understated.

Follow these steps

  1. The '24-'25 version of the payroll software must be installed before the Year-end set-up. Contact us in March to have this programme update completed via the Internet. We have updates to both the Payroll emailer and a new moduil 'Payroll Reporting' to help you produce P60.
  2. With the old 22-23 version of Payroll, Finish the last week and month in the Payroll and close the wages book as usual. Make a back-up copy of the data files to archive.
  3. Print all required year-end printouts and complete RTI on-line filing for Year-End. (Optionally, if there is not enough time to complete all the required printouts, then phone us for help in making a copy of the payroll files for printing at a later time.) You will then be ready to start clearing the files.
  4. Then start the 24-25 version of Payroll, choose 'Tasks' and 'Year-end Procedure' and then proceed to clear files and set up for new year’. Follow the instructions given by the computer. The password this year is ‘POST’. When complete, check all the employee details to see if they still apply. E.g. a 'week one' person should no longer be required to be 'week one'.
  5. Delete any employees from the payroll files that have left the company in the year just past.
  6. If your local tax office has notified you that tax codes are to be uplifted then it is possible to do so by using 'edit employee details ' to change each employee in turn.
  7. The system control settings will have been updated by the new software upgrade which we have given to you. We enclose for your information only, a list of the new system control settings. Check that you now have the new settings. (‘Tasks’ then ‘System configuration’ of Main Menu). If you require assistance with the system control settings, please do not hesitate to telephone us.

Once all of the above is complete, then proceed with week one of the new tax year.

N.B. HMRC MUST receive your FINAL FPS or corrections on or before 19/04/2024

System Control Settings for year Apl'24 - Mar'25.

T hese settings will be installed by the new software upgrade. They are listed here so that you may check that you are then up to date.

TAX & NI Bands and Rates
Band 1 upper limit = 0.00 20%
Band 2 upper limit = 37700.00 20%
Band 3 upper limit = 125140.00 40%
Band 4 upper limit = 999999.00 45%
Low-earnings limit Weekly = 123.00
Thresholds PT/ST Weekly = 242.00 175.00
Employer UST Weekly = 967.00
Upper earnings limit Weekly = 967.00
Low-earnings limit Monthly = 533.00
Thresholds PT/ST Monthly = 1048.00 758.00
Employer UST Monthly = 4189.00
Upper earnings limit Monthly = 4189.00
Low-earnings limit Yearly = 6396.00 967.00
Thresholds PT/ST Yearly = 12570.00 9100.00 4189.00
Employer UST Yearly = 50270.00 50270.00
Upper earnings limit Yearly = 50270.00
K Codes Regululatory limit =
Tax Refund limit = 100.00**
SMP Compensation % = 0.00*
Student Loan % Deduction Plan 1 9.00
Student Loan Threshold Wkly. Plan 1 480.57
Student Loan Threshold Mthly. Plan 1 2082.50
A-E Qualifying Lower Threshold Weekly 120.00
A-E Qualifying Upper Threshold Weekly 967.00
A-E Qualifying Lower Threshold Monthly 520.00
A-E Qualifying Upper Threshold Monthly 4189.00
Auto-Enrolment Threshold Yrly. 10000.00
A-E PRP Payday Offset 0 ***
Employment Allowance Max. 5000
(! Employment allowance -only if claiming)
Apprentice Levy Allowance Max. 15000
(! Apprentice Levy allowance -only if due)

Not-Contracted-out NI % rates
1 0.00 0.00 0.00 0.00
2 8.00 1.85 0.00 2.00
3 8.00 1.85 13.80
4 2.00 2.00 13.80

SCOTLAND TAX & NI Bands and Rates
Band 1 upper limit = 2306.00 19%
Band 2 upper limit = 13991.00 20%
Band 3 upper limit = 31092.00 21%
Band 4 upper limit = 62430.00 42%
Band 5 upper limit = 125140.00 45%
Band 6 upper limit = 999999.00 48%
WELSH TAX & NI Bands and Rates
Band 1 upper limit = 0.00 20%
Band 2 upper limit = 37700.00 20%
Band 3 upper limit = 125140.00 40%
Band 4 upper limit = 999999.00 45%
Band 5 upper limit = 999999.00 45%
OTHER Configuration
Plan Type 2 Student Loan % Deduction 9%
Plan 2 Student Loan Threshold Wkly. 524.90
Plan 2 Student Loan Threshold Mthly. 2274.58
Postgraduate Loan % Deduction 6%
Postgraduate Loan Threshold Yearly 21000.00

* If 'small employer' -else line = zero.

** This is only a suggestion (no statutory limit).

*** Do not change!

Please phone us (028)90424366 if you need help.