How to Register For PAYE as an Employer?|Company Formation

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Registering for PAYE can be done by yourself or with the help of a company formation service. It is quite vital for an employer in the UK to comply with the tax requirements and PAYE is one of these laws that you will need to fulfil. In this blog, check out the details concerning PAYE and how you can go about it.

What is PAYE?

PAYE stands for “Pay as You Earn”. It is a system of tax collection in the UK, wherein, instead of paying the tax on an annual basis based on yearly income, an employer can pay the tax to HMRC on every paycheck an employee receives.

Is PAYE Necessary?

Yes, registering for PAYE is very necessary. Failure to do so results in fines and penalties which you will have to pay. If you have more than one employee on your payroll, you will need to register for this system given that you are an employer in the UK.

Having said that, there are some exceptions. In case your employees earn less than £118 per week, you are not required to register for PAYE. This is because your employees are earning below the taxable limit. If the law changes at any time, you will be required to register for PAYE. However, your employees earn benefits or expenses, you will need to register for PAYE.

How to Register for PAYE as an Employer?

You can register for PAYE with the help of Formationshunt. We will submit your application safely, post which HMRC will send the entire information pack along with the PAYE reference within 5-7 weeks.

Since it can be quite frustrating for an employer to set up PAYE for the first time, we will help the person overcome that with a streamlined workflow.

Apart, from using a company formation service, you can also choose to register for PAYE yourself. First, your company needs to be registered, second, you need to apply for a PAYE number. Remember to register for PAYE at least 2 months before intend to you pay your first paycheck.

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