What Information Is Included on a P60?
A P60 document provides a consolidated summary of your pay and deductions for the full tax year. Rather than showing a month-by-month breakdown, it presents cumulative totals covering the entire period from 6 April to 5 April, giving you and HMRC a clear overall picture of your earnings and tax position.
What You Will Find on a Standard P60
- Your full name and National Insurance number
- Your employer’s name and their PAYE reference number
- Total gross pay earned during the tax year
- Total Income Tax deducted through PAYE
- National Insurance contributions paid by both you and your employer
- Student loan repayments deducted through payroll, where applicable
- Statutory payments received, such as Statutory Maternity Pay (SMP), Statutory Paternity Pay (SPP), or Statutory Sick Pay (SSP)
- Your tax code at the end of the tax year
Good to Know: If you worked for more than one employer during the tax year and were employed by all of them on 5 April, you will receive a separate P60 from each employer. Each P60 will only reflect earnings and deductions from that specific employer.
What a P60 Does Not Show
It is equally important to understand what the P60 form does not include:
- Income from self-employment or freelance work
- Dividend income, even if paid by your own limited company
- Income from savings, investments, or rental properties
- Any earnings from a job you left before 5 April, as these would have been captured on your P45
If you have income from multiple sources, you may need to complete a Self Assessment tax return in addition to relying on your P60. Accounting Wise can help you understand whether Self Assessment applies to your situation.
Tip: Always check that the details on your P60 match your own payslip records for the year. Errors in your National Insurance number, tax code, or gross pay figures can affect your tax position and should be queried with your employer promptly.
Why Is a P60 Important?
Your P60 is far more than a routine piece of paperwork. It is an officially recognised document that serves as proof of your income and tax paid, and it is one that you are likely to need in a number of important financial and legal situations throughout your life.
Common Reasons You May Need Your P60
- Applying for a mortgage: Mortgage lenders use your P60 to verify your income and assess affordability. Most lenders will request your last two to three years’ P60s as part of the application process
- Applying for a loan or credit: Banks and financial institutions may request your P60 as evidence of stable employment income
- Tenancy applications: Private landlords and letting agents often ask for a P60 to confirm that a prospective tenant can afford the rent
- Checking you have paid the correct amount of tax: Your P60 allows you to cross-reference your total tax paid against what HMRC believes you owe, helping you identify any underpayment or overpayment
- Completing a Self Assessment tax return: If you are required to file a tax return, your P60 is a key reference document for reporting your employed income accurately
- Claiming a tax refund: If you have overpaid Income Tax during the year, your P60 provides the information needed to make a reclaim through HMRC
- Applying for tax credits or benefits: Some benefit and tax credit applications require proof of income, and your P60 may be requested as supporting evidence
Practical Tip: Mortgage lenders will typically ask for your P60s from the last two to three tax years, alongside recent payslips. If you are self-employed or a company director, additional documentation such as SA302 forms or company accounts may also be required. Accounting Wise can help you prepare the right paperwork ahead of any application.
Your P60 as Official Proof of Income
Because a P60 is generated directly from PAYE data submitted to HMRC, it carries significant weight as an official record. Unlike a payslip, which is produced by your employer alone, the P60 reflects information that has been reported to and held by the tax authority, making it one of the most trusted forms of income verification available to employees in the UK.
Important: Keep your P60s for a minimum of four years after the end of the relevant tax year. HMRC can enquire into your tax affairs within this period, and having your P60s to hand can help resolve any queries quickly and accurately.
P60 vs P45: What Is the Difference?
The P60 and P45 are both official PAYE documents, and they are among the most commonly confused tax forms in the UK. While they contain similar types of information, they serve very different purposes and are issued at different points in your employment.
A Quick Comparison
| P60 | P45 |
|---|
| When it is issued | Annually, at the end of the tax year | When you leave a job |
| What it covers | Your total pay and tax for the full tax year | Your pay and tax up to your leaving date only |
| Deadline for issue | 31 May following the end of the tax year | Issued immediately upon leaving employment |
| Who issues it | Your current employer | Your departing employer |
| Who receives it | Employees still in post on 5 April | Employees leaving a job at any point in the year |
Can You Have Both in the Same Tax Year?
Yes. If you change jobs during a tax year, you will typically have both documents. Your previous employer will issue a P45 when you leave, and your new employer will issue a P60 at the end of the tax year, provided you are still employed with them on 5 April.
In this situation, your new employer will use the information from your P45 to ensure your tax is calculated correctly for the remainder of the year. Your P60 from your new employer will then reflect your combined earnings and deductions from both roles for that tax year.
Tip: If you start a new job, always pass your P45 to your new employer as promptly as possible. Without it, your new employer may place you on an emergency tax code, which could result in you paying too much tax until your records are updated by HMRC.
You can find further guidance on both forms via GOV.UK’s official guidance on PAYE forms.
P60 vs P11D: What Is the Difference?
While the P60 and P11D are both important year-end tax documents, they cover entirely different aspects of your employment and should not be confused with one another.
What Each Document Covers
- P60: Records your total salary and the Income Tax and National Insurance deducted through PAYE during the tax year
- P11D: Reports the value of any taxable benefits in kind you have received from your employer that were not processed through payroll
Benefits in kind are non-cash perks provided by your employer that have a taxable value. Common examples reported on a P11D include:
- Company cars made available for private use
- Private medical or dental insurance
- Interest-free or low-interest loans from your employer
- Gym memberships or other personal benefits
- Living accommodation provided by your employer
How Do They Interact?
Although benefits reported on a P11D do not appear as salary on your P60, they can still affect your overall tax position. HMRC uses the information from your P11D to adjust your tax code, which in turn affects how much Income Tax is deducted from your pay through PAYE in the following tax year.
Example: If your employer provides you with a company car, the taxable value of that benefit will be reported on a P11D. HMRC will then reduce your tax-free Personal Allowance accordingly, meaning more of your salary becomes subject to Income Tax. This change will be reflected in your tax code rather than as an additional entry on your P60.
Employers must submit P11D forms to HMRC by 6 July following the end of the tax year, and employees should receive a copy for their own records by the same date.
If you receive benefits in kind and are unsure how they affect your tax position, it is worth reviewing both your P60 and P11D together. You can find further information on GOV.UK’s guidance on expenses and benefits reporting, or speak to the team at Accounting Wise for personalised advice.
What If You Do Not Receive a P60?
If you were employed on 5 April and have not received your P60 by the 31 May deadline, you are not alone, and there are clear steps you can take to resolve the situation. Employers are legally required under PAYE regulations to issue a P60 to every eligible employee, so a failure to do so is a matter you are fully entitled to pursue.
Steps to Take If Your P60 Has Not Arrived
- Contact your employer or payroll department first: In most cases, a missing P60 is the result of an administrative oversight. Reach out to your HR team or payroll provider and request that your P60 be issued or reissued without delay.
- Check your payroll or HR portal: Many employers now issue P60s electronically through employee self-service platforms. Log in to any payroll portal you have access to and check whether your P60 has been uploaded there.
- Request a duplicate copy: If your original P60 has been lost or misplaced, your employer is permitted to issue a duplicate. This will usually be clearly marked as a copy, but it remains a valid document for most purposes.
- Contact HMRC directly: If your employer is unresponsive or has ceased trading, contact HMRC for assistance. HMRC holds records of the pay and tax information submitted by your employer throughout the year and may be able to provide you with the figures you need.
Important: HMRC does not issue replacement P60s directly, as these are the responsibility of your employer. However, if your employer has gone out of business, HMRC can provide details of the pay and tax figures held on their records, which you can use in place of the original document.
What If Your Employer Has Ceased Trading?
If the business you worked for has since closed or become insolvent, obtaining your P60 can be more complex. In this situation you should:
- Contact HMRC’s income tax helpline to request details of the pay and tax information held on your record
- Refer to your own payslips from the tax year in question as supporting evidence of your earnings
- Check whether a liquidator or administrator has been appointed, as they may have access to payroll records and be able to assist
Tip: While waiting for your P60, do not delay filing a Self Assessment tax return if one is due. You can use your payslips to estimate the figures and amend the return later if needed. Accounting Wise can help you manage this process and liaise with HMRC on your behalf if required.
What If There Is a Mistake on Your P60?
While P60 forms are generated directly from payroll records, errors do occur. It is important to check your P60 carefully as soon as you receive it, because inaccuracies can have real consequences for your tax position, mortgage applications, and any tax refund claims you may wish to make.
Common Errors Found on P60 Forms
- Incorrect total tax deducted, which could suggest an underpayment or overpayment of Income Tax
- Wrong National Insurance number, which can cause your contributions to be recorded against the wrong account with HMRC
- Missing or incorrect income figures, particularly if you changed roles, received a pay rise, or were on leave during part of the year
- Incorrect name or personal details
- Wrong tax code used during the year, which may have resulted in too much or too little tax being deducted
- Missing statutory payments such as Statutory Maternity Pay or Statutory Sick Pay that should have been included
What to Do If You Spot an Error
- Contact your employer or payroll department immediately: Raise the discrepancy as soon as possible and provide supporting evidence such as your payslips from the relevant tax year.
- Ask for corrected payroll reporting: Your employer will need to submit an amended Full Payment Submission (FPS) to HMRC to correct the underlying records. Simply amending the printed P60 is not sufficient.
- Follow up with HMRC if needed: Once your employer has resubmitted the corrected information, HMRC will update their records accordingly. You can check your tax record through your Personal Tax Account on GOV.UK.
Important: You must never attempt to alter your P60 yourself. A P60 is an official document and any unauthorised amendment could be considered fraudulent. If a correction is needed, it must always be made by your employer through the proper PAYE reporting channels.
Why Errors Matter
Mistakes on your P60 are not simply an administrative inconvenience. They can have a knock-on effect in several important areas:
- Mortgage applications: Lenders rely on your P60 to verify income, and discrepancies between your P60 and other financial records can delay or jeopardise your application
- Tax refund claims: An incorrect figure for tax deducted could mean you claim back the wrong amount, or miss a refund you are entitled to
- Self Assessment tax returns: If you file a tax return using incorrect P60 figures, you may need to submit an amendment, which can attract attention from HMRC
- National Insurance record: An incorrect National Insurance number means your contributions may not be properly recorded, which could affect your entitlement to the State Pension in later life
Tip: Get into the habit of checking your P60 against your payslips as soon as it is issued each year. If anything does not match up, act quickly. The sooner an error is identified and reported, the simpler it is to correct. If you need support navigating a payroll dispute or HMRC query, the team at Accounting Wise is here to help.
Do Sole Traders Get a P60?
No. Sole traders do not receive a P60. Because sole traders are self-employed and not paid through PAYE, there is no employer to issue one on their behalf.
Instead of having tax deducted at source through PAYE, sole traders are responsible for reporting their own income and calculating the tax they owe each year through Self Assessment.
How Sole Traders Report Their Income
- They register for Self Assessment with HMRC and file an annual tax return
- Tax is calculated based on their taxable profit, which is total income minus allowable business expenses
- They pay Income Tax and Class 4 National Insurance contributions through the Self Assessment system
- Payments are typically made in two instalments on account on 31 January and 31 July, with any balancing payment due by the following 31 January
Good to Know: Rather than a P60, sole traders use their SA302 form (a tax calculation produced by HMRC following submission of a Self Assessment return) as proof of income. This is the document most commonly requested by mortgage lenders and financial institutions when a sole trader applies for borrowing. You can obtain your SA302 through your Personal Tax Account on GOV.UK.
What If a Sole Trader Is Also Employed?
It is not uncommon for sole traders to also hold a part-time or full-time employed position alongside their self-employment. In this case:
- They will receive a P60 from their employer for the income earned through PAYE
- They will still need to complete a Self Assessment tax return to report their self-employed income separately
- Both sources of income will need to be declared to HMRC, and tax will be calculated across all earnings combined
Managing both employed and self-employed income in the same tax year can make your tax return more complex. If you are in this position, Accounting Wise can help ensure your Self Assessment return is completed accurately and that you are not paying more tax than necessary.
Do Limited Company Directors Get a P60?
Yes, but only in specific circumstances. A limited company director will receive a P60 if they pay themselves a salary processed through PAYE. If a director takes no salary and only receives dividends, no P60 will be issued.
The Typical Director Pay Structure
Many limited company directors choose to pay themselves using a combination of salary and dividends, a structure that is often more tax-efficient than taking a higher salary alone. Under this arrangement:
- A small salary is processed through the company’s PAYE payroll, typically set at or around the National Insurance threshold or Personal Allowance level
- Dividends are paid separately from the company’s post-tax profits and are not processed through PAYE
What Appears on a Director’s P60?
- The salary element only, reflecting the gross pay processed through PAYE and any associated Income Tax and National Insurance deducted
- Dividends are not included on a P60 under any circumstances, as they are not subject to PAYE and are reported separately
Important for Directors: Because your P60 only reflects your salary, it will not give a lender or financial institution the full picture of your total income. If you are applying for a mortgage or loan, you will typically need to provide additional documentation such as company accounts, dividend vouchers, and SA302 tax calculations alongside your P60. Accounting Wise can help you prepare a complete income evidence pack ahead of any application.
Reporting Dividend Income
Directors who receive dividends must report this income separately to HMRC through a Self Assessment tax return. Dividends above the annual dividend allowance are subject to Dividend Tax, the rates for which differ from standard Income Tax rates.
If you are unsure how to structure your director’s salary and dividends in the most tax-efficient way, or how to accurately report all sources of income on your Self Assessment return, the team at Accounting Wise can provide tailored advice. You can also refer to HMRC’s guidance on tax on dividends for further information.
What If You Lose Your P60?
Losing a P60 is more common than you might think, particularly if several years have passed since it was issued. The good news is that there are several ways to obtain the information you need, even if the original document can no longer be found.
Steps to Take If You Have Lost Your P60
- Contact your employer or payroll department: This should always be your first step. While employers are not legally obliged to reissue a duplicate P60, the majority will be able to provide a copy or a written summary of your pay and tax for the relevant year. Any duplicate issued should be clearly marked as such.
- Check your payroll or HR portal: If your employer uses digital payroll software, your P60 may still be available to download through an employee self-service portal. Many providers retain several years of documents online.
- Access your Personal Tax Account: HMRC’s Personal Tax Account allows you to view your employment history, tax codes, and income and tax figures held on record. While this does not replace a formal P60, it can provide the underlying figures you need in many situations.
- Contact HMRC directly: If you are unable to obtain a copy from your employer, HMRC can provide details of the pay and tax information submitted by your employer on your behalf. You can use this as supporting evidence where a formal P60 is not available.
Important: Never attempt to recreate or use an unofficial P60 template. Submitting a document that has not been officially produced by your employer or payroll system could be considered fraudulent. Lenders, letting agents, and HMRC will typically require an authentic copy and are experienced at identifying documents that do not meet the expected format.
Tips to Avoid Losing Your P60 in Future
- As soon as your P60 is issued each year, save a digital copy in a secure location such as cloud storage or an encrypted folder
- If you receive a paper copy, consider scanning or photographing it as a backup
- Keep P60s for a minimum of four years after the end of the relevant tax year, in line with HMRC’s general record-keeping guidance for employees
If you are struggling to obtain your records or need help verifying your income for a mortgage or loan application, Accounting Wise can liaise with HMRC and payroll providers on your behalf to help you gather the documentation you need.
How Long Should You Keep a P60?
HMRC sets out specific record-keeping requirements for employees, and your P60 falls within these guidelines. As a minimum, you should retain your P60 for at least 22 months after the end of the tax year to which it relates.
In practice, however, most financial and tax professionals recommend keeping your P60s for considerably longer than the minimum requirement.
Why You Should Keep Them for Longer
- Mortgage applications: Lenders typically request P60s from the last two to three tax years as evidence of income. Having these readily available can speed up the application process significantly
- Tax enquiries: HMRC can open an enquiry into your tax affairs for up to four years after the relevant tax year in standard cases, and longer in cases involving suspected fraud or serious error. Retaining your P60s provides an important layer of protection
- Self Assessment tax returns: If you complete a tax return, your P60 is a key supporting document and should be kept for at least five years after the 31 January filing deadline for the relevant tax year
- Pension and State Pension entitlement: Your National Insurance record, which is reflected in part through your P60, can affect your entitlement to the State Pension. Having historical records available can help resolve any discrepancies with your NI record
- General financial history: P60s provide a clear year-by-year record of your earnings, which can be useful for a range of personal financial planning purposes
Our Recommendation: Keep all P60s for a minimum of six years where possible. This covers the standard period HMRC uses for most tax enquiries and aligns with general best practice for personal financial record-keeping.
Storing Your P60 Securely
Digital copies of your P60 are perfectly acceptable for most purposes, including mortgage applications and Self Assessment, provided they are stored securely and can be produced when required. Consider the following options:
- Cloud storage: Services such as Google Drive, OneDrive, or Dropbox allow you to store and access your documents from anywhere, with the option to share them quickly when needed
- Encrypted folders: If storing documents locally on a computer, use an encrypted folder or password-protected file to protect your personal financial information
- Paper originals: If you receive a paper P60, keep the original in a safe place alongside other important financial documents
For further guidance on HMRC’s record-keeping requirements for employees, visit GOV.UK’s guidance on keeping pay and tax records.
Final Thoughts
The P60 form may appear straightforward, but it plays a vital role in the UK tax system and in your personal financial life. It is your official annual record confirming:
- What you earned during the tax year through employment
- How much Income Tax and National Insurance was deducted from your pay
- That your employer reported your earnings correctly to HMRC through PAYE
Whether you are applying for a mortgage, checking your tax code, claiming a refund, or completing a Self Assessment tax return, your P60 document is one of the most important pieces of financial evidence you hold as an employee. Treating it with the same care as other key financial records is always worthwhile.
The key takeaways to remember are:
- Your P60 must be issued by your employer by 31 May each year
- Check it carefully against your payslips as soon as it arrives
- Store it securely, both in paper and digital format where possible
- Keep it for at least six years for tax and financial purposes
- If anything looks incorrect, raise it with your employer promptly rather than waiting
Remember: Errors on a P60 rarely resolve themselves. Querying discrepancies early, before a mortgage application or tax enquiry arises, is always the most straightforward and stress-free approach.
If you have questions about your P60, need help understanding your tax position, or want expert support with payroll, Self Assessment, or business finances, the team at Accounting Wise is here to help. We work with employees, sole traders accounts, and limited company directors across the UK to make tax and accounting as straightforward as possible.
Get in touch with Accounting Wise today to speak with one of our friendly team of accounting experts.
