Employing people brings a set of tax duties: operating PAYE, paying employer National Insurance, reporting benefits in kind and — for larger employers — the Apprenticeship Levy. This hub explains each one for 2026/27, with the rates, deadlines and HMRC services you need.
The moment you pay an employee — or pay yourself a salary as a company director — you take on employer tax duties. You must operate PAYE to deduct Income Tax and employee National Insurance, pay employer National Insurance on top, report what you pay to HMRC in real time, and report any benefits in kind such as company cars or medical cover. The largest employers also pay the Apprenticeship Levy.
For 2026/27 the headline figures are an employer NIC rate of 15% on earnings above a £5,000-a-year secondary threshold, softened by an Employment Allowance of up to £10,500; an employee NIC main rate of 8% (2% above £50,270); a frozen personal allowance of £12,570; and Class 1A NIC on benefits at 15%. The National Living Wage rose to £12.71 an hour. Mandatory payrolling of benefits in kind was rescheduled to April 2027, so the P11D process still applies for 2026/27.
Each guide below sets out the rules, the rates, the forms and the deadlines, with worked examples and links to our free calculators. When your payroll situation is complex, we will match you with a verified UK specialist at no cost. Choose a topic to begin.
Pick a topic for a full 2026/27 guide — rates, worked examples, deadlines, the right HMRC forms, and the questions employers actually ask.
Operating payroll, the 15% employer NIC, the £10,500 Employment Allowance, RTI and deadlines.
Read guide →Benefits in kind, Class 1A NIC, company cars and the move to mandatory payrolling in 2027.
Read guide →The 0.5% levy, the £3m threshold, the £15,000 allowance and how to spend your funds.
Read guide →Specialist hubs for the situations that go further than the everyday.
The parent hub for everything a business owes — Corporation Tax, VAT, business rates, CIS and R&D relief, alongside your duties as an employer. Start here for the full picture of how the taxes connect.
Explore the hub →How directors and employees are taxed on salary, dividends and benefits.
Explore →How salaries and employer NIC reduce your company's taxable profit.
Explore →Digital record-keeping and quarterly filing for the self-employed.
Explore →Where you pay both employees and construction subcontractors.
Explore →Quick answers to everyday payroll and employer questions.
Visit →No sign-up, updated for 2026/27.
Tell us your situation and we'll match you with a verified UK accountant or tax specialist who fits it. We're a well-networked, established service — there's never a charge to you, and never any obligation. Most people are matched within 24 hours.
PAYE, employer NIC, benefits and the Apprenticeship Levy — the questions employers ask most, answered for 2026/27.
Get free, no-obligation guidance and we'll match you with a verified UK specialist who fits your situation.
Find an expert →UK Tax Hero provides general tax guidance and a free expert-matching service for the 2026/27 tax year. It is not personal tax, legal or financial advice. Figures are based on published HMRC rates and may change. Always confirm details on GOV.UK or with a qualified professional before acting.
