Payroll compliance – what is Full Payment Submission?
A Full Payment Submission (FPS) is a payroll report that employers must send to HMRC every time they pay employees. Using payroll software, employers use an FPS to report payments made, deductions from pay and National Insurance information, ensuring HMRC has an up-to-date record of their payroll obligations.
This submission should include all everyone you pay, even if their weekly earnings are less than £96. You must send the FPS on or before your employees' payday, regardless of whether you pay HMRC monthly or quarterly. When reporting, always enter the usual payday, even if you pay employees earlier, for instance, due to a Bank Holiday.
You can send an FPS before the regular payday, for example, if your payroll staff are on holiday, but avoid reporting too early. This is because changes, such as an employee leaving or a tax code change, may require a corrected FPS. Reports for the new tax year cannot be sent before March.
Your FPS must contain essential information, including employer details, employee information, pay and deductions, and National Insurance contributions. After submission, you can view how much tax and National Insurance you owe in your HMRC online account from the 10th of the next tax month. Claim any reductions, like statutory pay, by sending an Employer Payment Summary (EPS) by the 19th. The balance is due to HMRC by the 22nd, or 19th if paying by post. Correct any errors by sending a corrected FPS as soon as possible.
You should always send your FPS on or before payday and ensure all required information is included. It is also important to correct any errors as soon as possible. You need to report extra information when there are new employees, an employee leaves, you are filing the last report of the tax year or when you start paying someone a workplace pension.
