How to register as an employer

This guide explains when registration as an employer is necessary, and it takes you through the steps involved in registering with HM Revenue & Customs (HMRC).

On this page:

When you need to register

You don't necessarily need to register as an employer once you take someone on. Check first that at least one of the following conditions applies to you. If any apply, then you need to register:

  • the employee already has another job
  • they are receiving a state or occupational pension
  • you're paying them at or above the PAYE threshold
  • you're paying them at or above the National Insurance Lower Earnings Limit
  • you're providing them with employee benefits

If you need to register you can do so up to four weeks in advance of your first pay day.

Bear in mind that you might need to register as an employer even if you're the only person working in your business. If you run a one-person limited company, you'll be both an employer and an employee. So if any of the conditions above apply to you as an employee you'll need to register.

More about providing benefits to employees

Details of PAYE and National Insurance thresholds

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Information you'll need to register

In order to register as an employer you will need to have the following information to hand. Items marked with an asterisk are mandatory and you will not be able to register without providing that information.

Information required from all employers

Please provide:

  • name, business name, partner's name, company name (or charity/organisation name) - as appropriate *
  • business or home address, including postcode - as appropriate *
  • business or home telephone number
  • a contact email address *
  • a contact telephone number *
  • a name and address to send correspondence to
  • the date of your first payday or, if earlier, the first date you made payments of expenses and/or provided benefits to your employees *

Additional information required in specific circumstances

If you are not a partnership or a limited company and you are not using simplified PAYE procedures for domestic employees, please also provide:

  • your unique taxpayer reference number
  • your Charity Registration number - where appropriate
  • trustee (chair/treasurer) name*
  • your National Insurance number *
  • trading name (if appropriate)
  • the type of business you run *
  • the number of employees you employ or expect to employ
  • confirmation of whether you will be engaging any subcontractors in the construction industry
  • confirmation of whether you will be acting as a Troncmaster
  • confirmation of whether you are operating an Occupational Pension Scheme
  • confirmation of whether you will be employing staff who are undertaking electoral duties
  • confirmation of whether you will be employing staff to take on occasional educational examination duties

Simplified PAYE procedures for domestic employees

The simplified PAYE deduction procedures will close to new employers on 5 April 2012 and to all employers on 5 April 2013 as there is now very little difference in operation between this and standard PAYE. On 6 April 2013 employers using the simplified PAYE procedures will have to begin operating standard PAYE using the Real Time Information service.

Find out more about Improving the operation of Pay As You Earn (PAYE): Real Time Information (RTI)

HMRC therefore recommends that you register for standard PAYE now, rather than have to change over in April 2013.

If you chose to operate the simplified PAYE scheme for this limited period you will need to supply some extra information when registering:

  • the name and address (including postcode) of each employee *
  • the nature of their employment with you *
  • their date of birth *
  • their National Insurance number
  • confirmation of whether the employee has another job
  • how frequently you will pay them
  • the net pay you will pay them each payday

Partnerships

If your business is structured as a partnership, please also provide:

  • the partnership unique taxpayer reference
  • the trading name (if appropriate)
  • the nature of the business being registered *
  • confirmation of your Limited Liability Partnership (LLP) number, where appropriate
  • the number of employees you employ or expect to employ in this tax year
  • confirmation of whether you will be engaging any subcontractors in the construction industry
  • the name of each business partner *
  • the National Insurance number of each business partner *

Limited companies

If your business is a limited company, please also provide:

  • the company unique taxpayer reference
  • the trading name (if appropriate)
  • the company registration number
  • the address of its registered office
  • the business telephone number
  • the nature of the business being registered *
  • confirmation of whether you are operating an Occupational Pension Scheme
  • the number of employees you employ or expect to employ in this tax year (including paid directors)
  • confirmation of whether you will be engaging any subcontractors in the construction industry
  • the names of all company directors
  • the National Insurance numbers of all company directors *

More about applying for a National Insurance number

More about simplified PAYE for domestic employees

Guidance on choosing a payroll system

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How to register

Most employers can register with HMRC by telephone or internet.

Registering by telephone or email

In most cases the easiest way to register as an employer is to use HMRC's website registration tool to generate an email giving HMRC all the information they need from you.

However, this tool won't work if your business is in one of the following three categories, in which case you'll have to register by telephone instead:

  • a simplified PAYE scheme with more than ten employees
  • a limited company with more than nine directors
  • a partnership with more than ten partners

To register by telephone, contact HMRC's New Employer Helpline.

Register as an employer by email

Find contact details for HMRC's New Employer Helpline

Employers not entitled to register by telephone or email

Certain employers cannot register using the standard telephone or website methods. This is because their payroll affairs are unusual and require special attention from HMRC. If you are in one of the following categories you will need to register through an HMRC office.

  • receivers paying employees of companies in receivership
  • most offshore employers - however EEA or Isle of Man employers who are liable for UK National Insurance contributions can register by telephone or email
  • employees who deduct their own tax and/or National Insurance contributions (this includes registrars, certain employees of foreign embassies and consulates, and Roman Catholic priests)
  • profit sharing schemes - trustees of profit sharing schemes must operate PAYE when they make a payment on behalf of an employer to a recipient that isn't either an employee of the employer or receiving a pension from them
  • businesses responsible for paying sick pay to the employees of more than one employer (such as an insurance companies, for example)
  • providers of incentive awards who use Taxed Award Schemes to pay the basic rate tax due on non-cash awards - if this applies to you contact HMRC's Incentive Award Unit on Tel 0161 261 3269

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Your next steps after registering

Get ready to operate PAYE

Once you have registered as a new employer with HMRC, you will receive a letter containing your Employer PAYE reference with a link to the appropriate guidance where everything you need to get started can be accessed.

You'll need to familiarise yourself with what's involved in operating PAYE, and to understand which forms and returns you are required to file online (see the section below).

You'll find all the guidance you need in the 'PAYE for employers' area of this website - including links to relevant forms and time-saving calculators.

You'll also need to choose which sort of payroll system you want to use. One option is to use HMRC's free downloadable Basic PAYE Tools package. This contains a number of interactive PAYE forms and tools, including the P11 Calculator, which allows you to set up and manage your payroll records electronically.

Smaller employers can also use the P11 Calculator to file their in-year starter and leaver forms online when an employee starts with or leaves their business and also to file their Employer Annual Return (P35 and P14s) online at the end of the tax year.

Find out more about getting started as a new employer on the Business Link website (Opens new window)

Where to get HMRC's free P11 Calculator

As mentioned above, the P11 Calculator is part of a set of Basic PAYE Tools which are available to download straight to your computer. In addition to the P11 Calculator, the tools include:

  • an employer database on which you can record your employees' details
  • a range of other calculators that work out, for example, statutory payments
  • interactive forms such as P11D working sheets
  • a Learning Zone - including interactive material on how to use the Basic PAYE Tools

Download Basic PAYE Tools from the Business Link website (Opens new window)

Register for PAYE Online for employers

One of your responsibilities as an employer will be to send PAYE forms to HMRC at various stages - such as when an employee joins or leaves your business, or at the end of the tax year when you're required to submit an Employer Annual Return (P35 and P14s).

Filing online is a fast, secure and convenient way of sending your forms to HMRC, and almost all employers are required to file their starter and leaver information and their Employer Annual Return online. To file online you must first register with HMRC's 'PAYE Online for employers' service. You can register for PAYE Online as soon as you've registered as an employer.

How to register for PAYE Online

Register for email alerts

HMRC operates an email alert service for employers to notify you of information available on the Business Link website, previously sent to employers in the post. HMRC also strongly recommends that you separately register to receive employer email alerts to prompt and direct you to access important information. For more information and to register follow the link below.

HMRC employer email alert service

How to operate PAYE once you've registered as an employer

Choose the right payroll system

An overview of PAYE record-keeping requirements

How to do your PAYE filing online

More information about registering as an employer using the Welsh language

Mwy o wybodaeth am gofrestru fel cyflogwr trwy gyfrwng y Gymraeg

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