[peɪ æz juː ɜːn (piː-eɪ-waɪ-iː)]
Pay as you earn (PAYE) is a system that allows an employer to deduct Income Tax and National Insurance directly from an employee's salary.
Pay as you earn (PAYE) is a system used by employers in the United Kingdom to deduct Income Tax and National Insurance contributions directly from Employees' salaries. This system was introduced to make the tax system simpler and more efficient for Employees.
The amount of tax deducted is calculated using the employee's earnings and their Tax Code. You can provide your employer with your P45 in order for them to have the correct Tax Code. The money is then paid directly to HMRC by the employers.
PAYE can also deduct other things like Pension contributions and Student Loan repayments.
Employees may also need to submit a Self Assessment if they earn over £100,000 or have other forms of income. At Earnr, we can help you with your Self Assessment to save you time and make sure it is correct.
January 31st is the deadline for submitting 2022/23 tax returns. It's a good idea to complete your tax return ahead of this deadline to avoid mistakes and potential penalties. This article shows why its a good idea to submit your tax return early and how Earnr can help you if you are stuck.
Read more.webp)
We recently introduced our newest addition to the Earnr team; our AI chat bot, Earnr AI. In this article we put Earnr AI to the test and asked it why you should use Earnr as your tax companion, bookkeeping tool and tax return assistant. Read it's excellent response!
Read more
The festive period is often thought of as the busiest time of the year with the run up to Christmas and New Year. Whilst this period can feel hectic at times, it can also be seen as the perfect time to complete your tax return. In this article we explain why this Christmas time is the best time to submit your 22/23 tax return.
Read more