To find a payroll number, you will need to check your payslip and look at the top of the slip, often beside the employee’s name. This number can take shape differently across different companies, however, it might look similar to this: 0112233.
Depending on whether or not the payroll is set up to differentiate between different departments or not, it may also have letters before the number sequence, like this: HC0112233. There are no legal rules to the formatting, but each company might have their own process to ensure consistency and organisation throughout the company.
Companies that offer payroll software in the UK include:
What is a Payroll Number?
A payroll number is a number that is usually found on an employee’s payslip and is a method used to help payroll identify an employee through a numbered system, which is often used within company payroll software. It is not a legal requirement in the UK, however, many companies opt to use this method to ensure employee privacy is maintained and as a preventative measure to payroll errors.
What is the Importance of a Payroll Number?
As each employee has a distinctive payroll number, it reduces the chances of muddling private information or the risk of duplicated records. Each number series will hold sensitive data including employee names, contact information, job role and salary.
This also ensures that tracing employee payments is facilitated in a manageable way and it reduces the chances of payroll error. Furthermore, it aids correspondence when reporting to the HMRC and any other internal payroll reports.
What is the Difference Between a PAYE Reference and a Payroll Number
As mentioned above, a payroll number is a non-legal number that primarily exists to help payroll manage and track employees, whereas a PAYE reference is a legal number series provided to identify the employer by the HMRC. A PAYE reference does not have to be presented on an employee payslip, however, some employers do include it.
If need to find the PAYE number and it is not on your payslip, it can be found on a P60 or P45, and if you do not have these, it will likely be visible in your Personal Tax Account (PTA) in the Pay As You Earn section.
Is Employee Number the Same as Payroll Number?
No, employee numbers are occasionally assigned to employees for easier management of a large number of employees, such as those within larger corporations. This can also be referred to as an employee ID or employee code and is usually assigned by the HR department or payroll.
There are many reasons why companies set up their employees with IDs, including giving access to certain inventory rooms or systems, databases or giving permission to certain floors within a large office building. Lastly, it can facilitate better data storage of employee information for HR departments and create a smoother process during any audits.
Does a Payroll Number Protect Employee Data?
Yes, by assigning each employee a unique payroll number companies ensure that the chances of a data breach are minimised due to the increased complexity of finding employee personal information via numbers. This system is especially useful for larger corporations as they navigate payroll and contracts for large employee numbers.
Furthermore, if employees have the same name, it could cause confusion and a higher chance of sensitive information being sent to the incorrect employee and a data breach.
Payroll numbers help companies ensure compliance with certain legislation, including data protection for sensitive information and facilitate improved online data security. There are many payroll software options that assist with this process to give businesses an easier payroll experience.