Payroll Services UK.

A payroll accounting example is processing a monthly pay run for an employee earning £3,000 gross per month. The payroll accountant calculates income tax under the correct tax code, deducts employee National Insurance contributions, processes the employer NIC liability, calculates any pension deductions, and records the net pay figure — then files the FPS with HMRC before the payment date.

A payroll accountant manages the complete payroll function for a business. This includes calculating employee wages, processing PAYE and National Insurance deductions, filing RTI submissions with HMRC, managing statutory payments, handling auto-enrolment pension contributions, producing payslips, and completing year-end reporting including P60s and P11Ds.

SSP is calculated by dividing the weekly rate by the number of qualifying days in a week. Based on the current 2025/26 rate of £116.75 per week, the daily SSP rate for an employee working 5 days a week is £23.35 per day. Qualifying days are the days an employee is contracted to work.

The current Statutory Sick Pay (SSP) rate is £116.75 per week for the 2025/26 tax year. SSP is payable for up to 28 weeks to eligible employees who are off sick for 4 or more consecutive days, including non-working days. Employers cannot pay less than the statutory rate.

Contact our team directly for the most accurate and up-to-date information regarding our Bacs accreditation status. Our payroll service covers all RTI submissions, PAYE management, and statutory filing obligations with HMRC. Speak to our payroll team to discuss your specific payment processing requirements.

In-house payroll means your own staff manage all calculations, filings, and compliance obligations — requiring time, software, and up-to-date knowledge of HMRC rules. Outsourcing payroll means a dedicated professional team handles everything on your behalf, reducing the risk of errors, penalties, and compliance failures at a fixed predictable cost.

Xact+ Accountants provides outsourced payroll processing, payroll administration, PAYE and tax deduction management, RTI submissions, electronic payslip generation, statutory pay calculations, auto-enrolment pension management, overtime and bonus processing, CIS payroll for contractors, and full year-end payroll support including P60s and P11Ds.

Xact+ Accountants uses industry-leading, HMRC-recognised payroll software to process all client payrolls. Our systems support RTI filing, electronic payslip generation, auto-enrolment management, and CIS processing. We select the most suitable platform for your business size and pay frequency.

Payroll services manage the entire process of paying employees accurately and on time. This includes calculating gross and net pay, processing PAYE and National Insurance deductions, filing RTI submissions with HMRC, managing statutory payments, and distributing payslips to employees every pay period.

Payroll services handle every task involved in running your payroll  from calculating employee wages and tax deductions to filing submissions with HMRC and managing auto-enrolment pension contributions. A managed payroll service ensures your business stays compliant and your employees are paid correctly every time.

Any UK business that employs staff needs payroll services. Sole traders with one employee, small businesses, growing SMEs, and large companies all have the same HMRC obligations. Payroll outsourcing is particularly valuable for businesses without a dedicated HR or finance team to manage compliance in-house.

The four main types of payroll systems are in-house manual payroll, in-house payroll software, outsourced payroll bureau services, and fully managed payroll services. Fully managed payroll — where a qualified team handles everything on your behalf — is the most reliable option for UK businesses focused on compliance and accuracy.

Annual leave resets on the start date of your company’s leave year. This is either the anniversary of each employee’s start date or a fixed company-wide date — commonly 1st January or 1st April. Your employment contracts and staff handbook should clearly state when your leave year begins and ends.