Once you've completed your payroll year end, there are a few things you need to do before you start processing payroll in the new tax year.
Update tax codes
HMRC have advised that the personal allowance and base rate limit remain until at least April 2026. This means that, unless told otherwise by HMRC, you don't need to update your employees' tax codes this year.
Update parameters
We've updated SelectPay to include any new parameters and legislation changes for the next tax year.
Prepare for period one
To prepare for period one, complete the following:
Take a backup and name it TaxyearXXXX_XXPreperiod1.
If your holiday year end coincides with the tax year, run your holiday year end process.
If you use EarlyPay, reactivate payments.
Check pay frequencies
If you need to change any employees' pay frequencies, we recommend you do this after payroll year end, before you process any payroll in the new tax year.
We also recommend you check pay frequency dates for all active frequencies at this stage.
You've now completed your payroll year end and are ready to process in the new tax year.