An Overview of Basic UK payroll Processing

An Overview of Basic UK payroll Processing

  • Country

    United Kingdom

  • learning hour's


  • Material Year



If you are new to UK payroll or have had UK payroll processing responsibilities for a while, this course is for you! During this 6-hour course, we explain the background of the UK’s statutory deductions and payments, and how they should be calculated.

Processing new starters and leavers, as well as payment after leaving, what should we do, and does our payroll software help us? Automatic Enrolment and pensions, a requirement most payroll departments take responsibility for, we explain how this works, the terminology used and how the tax relief can be given.

The course is delivered over three days from 3.30pm to 5.30pm GMT to accommodate worldwide time zones. A pack of slides, exercises and answers to exercises are provided to all delegates

Who is this course for?

It is aimed at those who are looking to start running a payroll in the UK for their organisation, or those who are utilising the services of a service provider who want a better understanding of the process, so they are better able to support their business and ensure compliance in their organisation.

What will you achieve?

Through practical exercises undertaken during the course, designed to consolidate learning, delegates will have sufficient knowledge to understand how UK payroll software should operate and to be able to manually calculate and check tax and national insurance calculations.

Course Trainers

  • Jo

    Payroll Lecturer

    Jo has over 20 years’ payroll experience, working in a variety of different roles during that time. Jo has always been involved in payroll, this includes the 10 years whilst working for a HR and Payroll software provider. During those 10 years, roles included consultant, project manager, payroll quality manager and finally, going on to establish and implement a payroll managed service using the company’s standard HR and Payroll product.

What will be covered?

Course Overview 

  • The background to PAYE (the UK’s tax withholding mechanism for employers)
  • The annual payroll cycle and real-time information reporting to the UK tax authorities
  • The difference between gross pay, gross taxable pay and gross pay for social security
  • Understand how tax codes and social security table letters are allocated
  • How new employees and leavers are handled
  • Be able to calculate social security and tax deductions
  • Employment Allowance (only available to small organisations)
  • Student loans (loans for higher education studies are repayable via payroll)
  • Court Orders (a legal requirement to deduct fixed or percentage payments via payroll)
  • Automatic Enrolment and Pensions (an overview of the requirements and terminology)
  • Apprenticeship Levy (a training tax on employers)

Even though the course is delivered online there is the opportunity to ask the presenter any technical questions or request additional support throughout.

Post-course support can also be offered with the fee subject to negotiation depending upon whether this is one-off or the delegate would prefer a retainer service which we offer to clients based on an hourly rate.

Complementary courses

The Global Payroll Association also offers the following courses for employers with employees based in the UK:

  • An overview of UK benefits and expenses taxation (three x 2 hour sessions over three days)
  • A UK payroll compliance update - covering recent and future legislative developments (two x 1 ½ hour sessions over two days)
  • Preparing for the taxation of contractors and consultants through the payroll from April 2021 (two x 1 ½ hour sessions over two days)