Use our statement at or before you pay wages or salary to a worker to set out the breakdown of the amount paid and any deductions.
Statutory provisions
The Employment Rights Act 1996 requires that you issue every worker with a written itemised pay statement, or payslip, at or before the time at which any payment of wages is made to them. The payslip can be provided either in a physical format or in an electronic format that the worker can print.
Minimum contents
The payslip must contain details of:
Specific fixed deductions
Specific fixed deductions, such as instalments to repay a loan, don’t need to be shown each time but can be shown as one total deduction, provided the worker has also been given a written standing statement of fixed deductions setting out the amount of the deduction, the intervals at which it’s made and the purpose for it. The standing statement can be amended by notice in writing and must be updated at least once every twelve months.
Pay statement precedent
Our Itemised Pay Statement ensures that you cover all the statutory requirements in terms of gross payments, any deductions and net pay, and we’ve broken this down into rows and columns to cover the typical payments and deductions that might be made. We’ve also included a tax year to date table. Finally, it includes general and personal information, such as the names of the worker and employer, the worker’s NI number and tax code, what tax week or month you’re currently at, how frequently the worker is paid, the payment date and the payment method, e.g. BACS.