End of Year Payroll Procedure 2026/2027

This article will outline the 25/26 end of year procedure and provide you with a summary of the changes which are being introduced for the 26/27 tax year.

Do you need to process a Week 53 this year?

Week 53 occurs if your payslip date (the date which your employees receive their payment) falls on the 5th April.

This happens because a year is made up of 365 days or 52 weeks and 1 day, when the extra day falls on your company payday, week 53 comes into effect.

If all of your employees are paid monthly, simply proceed with your usual payroll process. The information in this message is not relevant.

How to process a Week 53

Simply set the correct payslip date and process it in the same way as any other pay period. Qtac Software will perform this action automatically when processing week 53. The software will ignore all previous tax and pay for the year and will perform a standalone calculation in that pay period.

Final FPS

Qtac will automatically include the ‘Final Submission Indicator’ within your final (W52/W53/M12) FPS submission.

Simply put, all you need to do at the end of the year is:

1. Pay your final period (W52/W53/M12)
2. Submit FPS (Full Payment Submission)

P60

Any employee who is employed by your business on the 6th of April must receive a P60. If an employee has left prior to the 6th April they will not receive a P60. 

A P60 can be produced from the Qtac software from “Reports > Year End > Electronic P60’s”. If you have the company name selected the software will run the P60’s for the whole company. For more information on P60's please click here.

Migration to the 26/27 software

Once your final pay period has been completed, and you’ve updated both years software, you can migrate the data from the 25/26 version into the 26/27 software.

On migration, you can automatically increase pay rates of employees paid the National Minimum Wage to make it even easier for clients to migrate.

For more information on how to migrate last year’s data read our migration guide.

Installing the New Software

At the end of the tax year Qtac produces a new version of the payroll software. You will receive and installation link from our sales team to download the new software or alternativity the installs team will be able to get that installed for you

Changes to 26/27

• Abolishment for SSP waiting days
• NWM uplifts (see section on NMW for details)
• Plan type 5 student loan introduced

National Minimum and Living Wage Rates 2026:

The Government has announced the 2026 increases to the National Minimum Wage, including the National Living Wage.

These will be effective from April 2026. The Government accepted in full the recommendations of the independent Low Pay Commission (LPC).

The rates which will apply from 1st April 2024 are as follows:

For more information on Minimum wage rates for 2026 visit GOV.UK

A little bit about us...

Qtac, a recognised payroll solutions provider in the UK, has been serving businesses for 30 years. Specializing in both payroll software and outsourced payroll services, Qtac caters to small businesses, large corporations, and payroll bureaux. Our software, recognised by HMRC, streamlines the payroll process, featuring RTI submissions, workplace pensions management, and a cloud-based portal for payslips and employee self-service. This software is supported by top-tier customer assistance, ensuring a smooth payroll experience.

Additionally, Qtac offers tailored ‘white-labelled’ outsourcing services. These services are particularly attractive to accountancy firms, as they save time, reduce stress, and mitigate payroll-related risks. By outsourcing to Qtac, companies can be confident in the knowledge that their payroll needs are being expertly managed.

Qtac's solutions are not just about functionality; they are about building long-lasting relationships with clients, offering them a combination of technology and expertise. Their commitment to adapting to client needs and providing reliable, efficient services has established Qtac as a trusted name in the payroll solutions sector in the UK. In essence, Qtac simplifies and enhances the payroll process for a diverse range of clients, ensuring compliance, efficiency, and customer satisfaction. 

Need some help?