Employers are free to run their own payroll. HMRC expects payroll to be operated through recognised software with reports submitted on or before each payday, and current GOV.UK guidance walks employers through registering as an employer and operating PAYE themselves. So no, an accountant is not a requirement. Payroll is different from other DIY accounting decisions in one respect, though: the deadline is not annual or quarterly but every single pay period, and the person affected by a mistake is not you but your employee, on payday, looking at the wrong number.

Payroll is a rhythm, not a task

Most accounting jobs can slip a week without consequence. Payroll cannot. Operating PAYE means, every pay period without exception: calculating pay, deductions and contributions; producing payslips; submitting the required report to HMRC on or before payday; and paying what is owed to HMRC by its due date. Around that rhythm sit event-driven jobs: starters, leavers, statutory payments for sickness and parental leave, year-end reporting, and responding to tax code changes HMRC issues mid-year. None of these steps is individually difficult. The demand is reliability: holidays, illness and busy weeks do not pause the cycle.

The employer duties that surprise people

Two clusters of responsibility catch new employers out. First, statutory payments: working out entitlement and amounts for sick pay and parental leave involves rules that most employers meet for the first time under pressure, when someone is already off. Second, workplace pensions: automatic enrolment duties apply from the day you employ your first eligible member of staff, covering assessment, enrolment, contributions and declarations, as set out in current GOV.UK guidance. Pension duties run alongside PAYE, involve a separate regulator, and do not appear in payroll software unless configured correctly at the start.

Running it yourself: what it honestly takes

In-house payroll is a fair choice when you have very few employees on stable pay, someone reliable to own the routine, and the discipline to process on time every period. Software does the arithmetic and files the submissions. What you supply is accuracy of inputs (hours, new starters’ details, changes) and the judgement to recognise when something unusual has happened: an employee’s second job, a court order deduction, a query about a tax code. Budget honest time not just for the routine but for the exceptions, because the exceptions are where employers lose evenings.

Why payroll is the most-outsourced task

Among all accounting services, payroll is the one small employers hand over earliest, for reasons that have little to do with capability:

  • The stakes are personal. An error in your VAT return annoys HMRC; an error in payroll shorts a colleague’s rent money.
  • It never stops. Outsourcing buys certainty that submissions happen even when you are away.
  • Confidentiality. In a small team, pay details handled by an outside bureau stay private in a way an office spreadsheet does not.
  • It bundles the pension admin. A payroll service typically carries the auto-enrolment assessments and submissions with it.

Directors paying only themselves through their company sit at the simple end, though even a one-person payroll has submissions each period. The wider context is in does a limited company need an accountant? For the general in-house-versus-help question, start with do I need an accountant for my small business?

Frequently asked questions

Can I run payroll for one employee myself?

Yes, and many employers do. The obligations are the same in kind as for fifty employees (registration, software, per-payday submissions, pension assessment), just smaller in volume.

Is payroll an accountant’s job or a separate service?

Both exist. Accountancy firms commonly run payroll bureaus, and standalone payroll providers also operate. Using your accountant keeps payroll data connected to your accounts, which simplifies year-end.

What happens if I submit a payroll report late?

Late or missing submissions can lead to penalties under current GOV.UK guidance, and repeated lateness draws attention. Occasional genuine errors can usually be corrected in a later submission.

Do pension duties apply if my only employee is me?

Directors without employment contracts are often exempt from automatic enrolment duties, but the position depends on circumstances, so check current GOV.UK guidance rather than assuming.

If I outsource payroll, what do I still have to do?

Provide accurate, timely information (hours, starters, leavers, pay changes) and pay HMRC and the pension scheme. The legal duties remain yours; the processing and submissions are handled for you.

Let the rhythm be our problem

Our payroll and auto-enrolment service runs the full cycle: payslips, submissions, statutory payments and pension compliance. Request a quote with your headcount and pay frequency and we will price it the same day.