Year-end guide for QuickBooks Online Advanced and Bureau Payroll

As the tax year comes to an end, it’s important to make sure your payroll is in order. This simple guide will walk you through everything you need to do in Advanced and Bureau Payroll so you can start the new tax year with confidence.

Important things to know before year-end

Before you wrap up this year's payroll and prepare for the next, there are a few things you should keep in mind:

• Make sure that the new tax changes are updated in QuickBooks before you run payroll for the new tax year.
• Check if you're eligible for Employment Allowance (EA). It can lower your employer National Insurance contributions (NICs) by up to £10,500 per year. If you think you qualify, make sure to let HMRC know so you can claim the allowance in the upcoming tax year.
• To use payrolling benefits, register on the HMRC website before 5 April.

Stay updated on payroll tax changes

Stay informed about any changes to payroll tax regulations that may impact your business. QuickBooks keeps you updated with the latest information, but it’s always a good idea to review HMRC’s guidelines for any updates that might affect your payroll calculations.

Key payroll deadlines for year-end

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1. How to complete payroll year end

Watch this video on wrapping up this year’s payroll and preparing for the next.

2. Check if your payroll date ends on week 52 or 53

Do you pay weekly, fortnightly, or every 4 weeks?

• If YES, and your last payday is April 5th, 2025: You'll have an extra payday called "Week 53." We'll calculate taxes for that payday separately.
• If NO (you pay monthly): You can ignore Week 53.

Understanding week 53

• If you pay your employees weekly, fortnightly, or every 4 weeks, and your last payday of the tax year is April 5th, 2025, you'll have a "Week 53" payday. This means an extra payday within the tax year.
• How it affects taxes: Taxes for Week 53 are calculated only on that single payday's earnings, not your total year's earnings.
• If you pay monthly: Week 53 doesn't apply to you.
• For Directors on payroll (alternative NIC method): If you use the "alternative" method for director's National Insurance, we'll automatically calculate an adjustment for Week 53.

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3. Process employee leavers

When an employee leaves your company, it's important to correctly process their departure in QuickBooks. Doing this will help keep the accuracy and completeness of your FPS and year-end submission

To process a leaver correctly, mark the employee's last working day in QuickBooks by terminating the employee in the system.

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4. Run your final payroll for the tax year

It's time to run your final payroll of the tax year! QuickBooks will let you know when it's time to do this. If this is your first time running payroll, follow the steps in this article so that you can get it done.

If you decide to submit your FPS at a later time, make sure you send it to HMRC no later than 19 April.

Edit or delete a pay run

If you've ever made a mistake while running payroll, like entering the wrong amount or making an incorrect deduction, don't worry. The good news is that you can make changes to a pay run and start over if you need to.

If you need to delete a pay run, remember to reset your Employment Allowance based to your eligibility for the tax year.

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5. Submit your final FPS to HMRC

Next thing to do is send an FPS to HMRC. This is important because it helps calculate your business's PAYE and NIC liability for the tax year.

Once you've submitted the FPS, you'll have to wait for a confirmation email before you can be sure that your submission has been successfully accepted by HMRC. While you're waiting, you check all of your recent submissions in QuickBooks. And if necessary, submit your final EPS too.

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6. Issue payslips to employees before payday

As an employer, it is your duty to provide payslips to your employees. Each payroll run generates a payslip for every employee, which must be given to them on or before their pay date.

Payslips contain important details such as earnings before and after deductions, taxes and other contributions.

Here are two ways for distributing payslips to your employees:

• Download them or email payslips directly to employees.
• Invite your employees to QuickBooks Workforce, a secure self-service portal where employees can access and download their payslips and P60 forms, saving you valuable time on admin tasks.

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7. Give employees their P60 forms

Finally, make sure to create and provide your employees with their P60 forms by May 31, right after you wrap up your final payroll.

A P60 form summarises an employee's pay and deductions for the entire year, and is only generated for employees who are still in your employment at the end of the tax year.

And that's it! You've successfully completed your final payroll for this tax year.

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8. Carry forward benefits in kind to the new tax year

As the tax year comes to close, it's important to properly handle your payroll benefits. This includes any benefits you have paid or reported using the P11D form.

If you have any benefits that need to be carried over to the next tax year, don't worry. QuickBooks has a year-end option in the benefits section that will walk your through the steps.

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Payroll year-end 24/25 drop-in clinic—Get expert help

Got questions about Payroll year-end? Post them in our Community Drop-In Clinic, and our experts will guide you through.

For more articles, check out the Advanced Payroll hub page.

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