Payroll numbers help employers manage their employees. Although businesses of all sizes assign payroll numbers to staff members, they’re particularly useful for larger-scale companies.
Payroll numbers are important for numerous reasons, like helping to ensure companies don’t breach employee data security.
Although most of us are familiar with payroll numbers, we understand that some individuals might not know what they’re useful for, and where to find them. To learn more about what a payroll number is and how to find it, continue reading.
What is a Payroll Number?
A payroll number is a unique number given to employees by their employer. These assigned sequences allow companies to link personal data directly to their employees. A payroll number typically consists of three to eight characters using a combination of letters and numbers.
A numeric payroll number could look something like this:
- 012345
An alpha-numeric payroll number could look like this:
- A1324
It’s not a legal requirement for companies to assign payroll numbers to their staff, although many companies in the UK do. As mentioned, it’s helpful for companies to have a payroll number assigned to each employee.
Payroll numbers are linked to personal data connected to each unique sequence. Information about employees is often stored across different databases within a company. However, for many, this proves to be too unorganised and can lead to confusion – this is where payroll numbers step in to help.
Payroll numbers aren’t a requirement, but they help many companies across the UK manage sensitive data belonging to each employee. Payroll numbers ensure the right information is linked to the correct individual. This information should not get mixed up.
Why are Payroll Numbers Important?
Payroll numbers are important for many reasons. They streamline the process of finding information about employees, which ultimately reduces the risk of breaching data regulations.
Protecting employee data is essential – if there are several employees with the same name, there’s a likely chance that private information could be sent to the wrong person. It’s important that even when employees have similar names, data should still not cross over.
As well as simplifying the process of finding key information, payroll numbers are important for employers for a few other reasons:
- Protecting important personal data
- Paying staff their wages
- Ensuring employees are paid correctly
- Helping deduct employee taxes
- Allowing for efficient tracking of payments
- Maintaining payroll records
How to Find Your Payroll Number
How do you find a payroll number? You can find your employee payroll number on your payslip. It’s relatively easy to find your payroll number, but we understand that not everyone will know where to look, or might not have seen what a payroll number looks like before.
Payslips are important documents stating how much you’re getting paid, and how much tax (including National Insurance contributions) has been deducted.
Payroll numbers are typically found at the top of a payslip, near your name and other key details. But, they can also be found at the bottom. If you still can’t find your payroll number, you should speak with your employer and ask them to show you.
Is a Payroll the Same as a PAYE Reference Number?
No, a PAYE reference number is not the same as a payroll number. Although both PAYE (pay-as-you-earn) and payroll numbers are important sequences of numbers used in business, they are both completely different.
When a business registers to use PAYE, each employee will be issued a PAYE reference number – this isn’t to be confused with a payroll number.
A key factor in the differences between PAYE reference numbers and payroll is how they look. A PAYE reference number is typically split into two parts, consisting of an HMRC office number and a unique code.
For example, your PAYE reference number could look something like this – 333/A12345. 333 represents the HMRC office number, and A12345 is the reference number assigned specifically to your company.
Let’s take a look at some of the key differences.
| Payroll Number | PAYE Reference Number |
|---|---|
| Issued by employer | Issued by HMRC |
| Identifies an employee | Identifies an employer |
| Found on payslips | Found on letters from HMRC and tax forms |
| Used to identify employee records and streamline payrolls | Allows HMRC to identify a company and manage PAYE taxes |
| Combinations of letters and numbers | Consists of a three-digit HMRC office number and a unique reference number for your business |
Support for You and Your Employees
All employers must ensure HMRC have everything they need when it comes to payroll. At DH Business Support, we take care of everything payroll-related on your behalf. Our trusted team are both experienced and knowledgeable.
We have a fully digital payroll experience which includes a portal and app for your mobile device that can be used by both employers and employees. Through our portal, you can access all the key information regarding payroll and pension.
Additionally, through our portal, you can manage employee holiday calendars and absences – something that can be difficult to keep track of.
As well as expert accountancy, our professional payroll services are favoured by companies across the country. We can support you and your employees directly, understanding how time-consuming it can be to handle issues with payroll.
It’s important that your employees think highly of where they work – and it’s our goal is to ensure they do so by making sure there’s a streamlined and efficient payroll process in place.
Our friendly and efficient advice, guidance, and support are second to none. We want the best for your company.
If you’d like to talk further about our payroll service, we encourage you to get in touch with us today. We’re here to answer any questions that you may have, and look forward to speaking with you soon!