Reply to: Paying PAYE online

[manclarky]

A rush to criticize - What got your pajamas in a twist? In my defense the spelling was hardly center to my argument. However, I appreciate your candor, and will attempt to memorize your favorite way to spell cheque in future!

It's criticise, pyjamas, defence, central (probably), memorise and favourite.

You got cheque right though

[Greg@CapitalCity]

Yes, the NI and PAYE payments are all the same to the HMRC in terms of how they collect payment from you. Just pay across as a single lump sum. There shouldn't be anyone making monthly NI/PAYE payments if your monthly payments are less that £1,500....well, having said that, you can if you want to, but its just extra admin. Contact your PAYE office, tell them you will be making quarterly payments going forward, and then set a reminder in your calendar for 05 Jul, 05 Oct, 05 Jan, and 05 Apr each year to pay any PAYE/NI due.

If you don't need to make any PAYE/NI payments at all, but still need to advise the HMRC of a nil return each quarter you can;
(1) Tell them online at HM Revenue & Customs: No PAYE/NICs payment due
(2) Or call your PAYE office and tell them to put your business on the annual PAYE scheme - then the HMRC will only expect to receive a payment from you once a year (after 05 Apr)

For payment references, if your payment is going to reach the HMRC by the due date, there is no need to append the four more digits to the end of your payment reference. As malvolio points out, you can do this - there is nothing wrong with it, but its not necessary. If you always make your payment by the due date then you can always use the same reference number, which just makes things ever so slightly easier. To be fair the only time you should ever need to append four digits to the end of your payment reference is when paying your Class 1A NIC calculated from the P11D. For more info on the elusive four digits take a look at HM Revenue & Customs: How to pay PAYE/Class 1 National Insurance contributions

Regarding the yellow PAYE books - if you are still getting one, call your tax office and ask them to stop sending it to you. You don't need them anymore.

[malvolio]

Just switched from monthly / cheques PAYE to quarterly online payments and have a question.

I know in the reference for online banking I need to state my 13 PAYE number but I'm reading different things about needing to add the quarter end date at the end so in this case its 1206. HMRC online says you need to add the date if your paying early so in the case of this quarter payment is due 22nd Oct and early is before the 5th Oct HMRC its not clear though if you need to add it if you pay after the 5th, do people still add the date even if the pay after the 5th or does it cause issues ?

I thnk the end date code is just belt and braces, but the accountant tells me to add it on to the reference number anyway. It's not like it's a major pain, after all, but it may well save some grief.

[Scrag Meister]

Yes.

Don't need to send in the yellow slip - just make sure your on line payment includes your tax reference number from the front of the yellow book.

I pay quarterly and don't break down the tax/NI. I just pay the lump sum due each quarter.

WCS

[Bumfluff]

Just switched from monthly / cheques PAYE to quarterly online payments and have a question.

I know in the reference for online banking I need to state my 13 PAYE number but I'm reading different things about needing to add the quarter end date at the end so in this case its 1206. HMRC online says you need to add the date if your paying early so in the case of this quarter payment is due 22nd Oct and early is before the 5th Oct HMRC its not clear though if you need to add it if you pay after the 5th, do people still add the date even if the pay after the 5th or does it cause issues ?

[Archangel]

I think it is just you - there's a different code at the end of your reference which identifies the quarter or month you're paying for.

I've never had a problem with paying online. In fact, I've never done anything else.

I nver change the reference (RBS online) and have never had a problem.

[Moscow Mule]

Yes, but Barclays don't let you use it. They only allow the current month one.

How very odd. Another reason to avoid Barclays...

[VectraMan]

I think it is just you - there's a different code at the end of your reference which identifies the quarter or month you're paying for.

Yes, but Barclays don't let you use it. They only allow the current month one.

[Moscow Mule]

The problem I've found with paying online is they tend to attribute the payment to the wrong month. You might think it doesn't matter as long as it all adds up at the end of the year, but what happens is they send increasingly irate late payment demands for money you've already paid. It always worries me that too many of these ends up in a PAYE investigation, and we all know what tends to come after one of those.

Or maybe it's just me.

I think it is just you - there's a different code at the end of your reference which identifies the quarter or month you're paying for.

I've never had a problem with paying online. In fact, I've never done anything else.

[Pickle2]

cheque.

A rush to criticize - What got your pajamas in a twist? In my defense the spelling was hardly center to my argument. However, I appreciate your candor, and will attempt to memorize your favorite way to spell cheque in future!

[crack_ho]

Ive recently registered to fill the form in online using the online VAT service.

It looks identical to the paper form, just a web based version of the same. Its even the same colour green.

Dont keep it to yourself, let us all save 36p a quarter.

[VectraMan]

The problem I've found with paying online is they tend to attribute the payment to the wrong month. You might think it doesn't matter as long as it all adds up at the end of the year, but what happens is they send increasingly irate late payment demands for money you've already paid. It always worries me that too many of these ends up in a PAYE investigation, and we all know what tends to come after one of those.

Or maybe it's just me.

[chris79]

There is this thing, which I assume is what you mean?

https://www.billpayment.co.uk/hmrc/s...rm.asp?pt=PAYE

There is no breakdown of NI / Income Tax amounts, but by the sounds of it the revenue dont care?

From what I know yes, they don't care.. it's all detailed on your end of year payroll which gets sent to them. The quarterly NI+PAYE tax is just mashed into one payment.

[Ruprect]

Im in the process of trying to get my company to be run as "paperless" as possible, by moving to things like online VAT filling and payment etc.

I allready do my PAYE annual returns online. However, for the monthly payments I still fill in the little yellow book and send off a check. This seems crazy given that the check is usually for about 3 quid.

Does anyone pay the PAYE electronically from their online banking? If so, do you still have to bother sending in the yellow slip with details of the Income Tax / NI breakdown?

cheque.

[Pickle2]

With the VAT you have to send the form even if you transfer the payment electronically. Forgot to do this and you will be slapped by Hector on the second occasion.
And the nice thing is that as of the last few months you have to pay the postage too!

Ive recently registered to fill the form in online using the online VAT service.

It looks identical to the paper form, just a web based version of the same. Its even the same colour green.