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Blog Payroll What is PAYE?: The complete guide for employers

What is PAYE?: The complete guide for employers

8 min. read
19 Apr 2021
08 Apr 2025
19 Apr 2021
8 min. read
08 Apr 2025

Band

Taxable Income

Tax Rate

Basic rate

£12,571 to £50,270

20%

Higher rate

£50,271 to £125,140

40%

Additional rate

over £125,140

45%

Category letter

£123 to £175 a week (£533 to £758 a month)

£175.01 to £967 a week (£758.01 to £4,189 a month)

Over £967 a week (£4,189 a month)

A

0%

13.8%

13.8%

B

0%

13.8%

13.8%

C

0%

13.8%

13.8%

H

0%

0%

13.8%

J

0%

13.8%

13.8%

M

0%

0%

13.8%

Z

0%

0%

13.8%

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