P45 / P60

P45 and P60 are official HM Revenue & Customs forms that document employee earnings and tax deductions in the UK.

A P45 is issued when an employee leaves a job. It summarises earnings and tax paid up to the date of leaving. Employees give their P45 to their next employer to ensure correct tax code application.

A P60 is issued at the end of each tax year (5 April). It summarises total earnings and tax deductions for the year. Employees need P60s for self-assessment tax returns and proof of income.

Both forms are essential for accurate payroll administration. Digital payroll software generates these forms automatically and makes them available to employees through online portals.