FPS vs EPS: Real Time Information Payroll Submissions Explained for UK Employers

UK employers must report payroll information to HMRC accurately and on time. The Real Time Information (RTI) system uses different submissions to record employee pay, deductions and adjustments to the employer’s PAYE liability. Understanding which report to send helps businesses manage payroll records, meet reporting deadlines and resolve errors before they cause further problems.

The difference between FPS vs EPS often confuses employers who handle payroll in-house or use payroll software. A Full Payment Submission reports employee payment details, while an Employer Payment Summary reports certain adjustments and periods when no employees receive pay. Online Accounting Services UK can help businesses manage payroll records, reporting requirements and HMRC obligations with greater confidence.

What Is the Difference Between FPS and EPS in UK Payroll?

FPS and EPS serve different purposes under HMRC’s Real Time Information system. Employers need to identify the correct submission for each payroll situation to keep their PAYE records accurate.

What Does an FPS Report?

An FPS reports employee pay and deductions to HMRC. Employers normally send it whenever they pay employees through their PAYE payroll.

The report contains relevant information such as:

• Employee names and National Insurance numbers.
• Gross pay, taxable pay and pay dates.
• Income Tax and National Insurance deductions.
• Student loan deductions and other applicable payroll details.
• Year-to-date pay and deduction figures.

Employers must include every employee they pay, even when an employee earns less than the usual PAYE or National Insurance thresholds. They must also report relevant changes, such as new starters and employees who leave.

What Does an EPS Report?

An EPS reports employer-level information that affects the PAYE amount due to HMRC. Employers send it when they need to claim eligible reductions or report a period without employee payments.

Common reasons include:

• Claiming Employment Allowance.
• Recovering eligible statutory payments.
• Claiming qualifying Construction Industry Scheme deductions as a limited company.
• Reporting Apprenticeship Levy information where applicable.
• Confirming that the employer paid no employees during a tax month.

An EPS does not replace the FPS when an employer pays employees. Both submissions may apply during the same tax month.

When Should Employers Submit FPS and EPS Reports?

Employers should base each submission on the payroll activity and the information they need to report. The following table summarises the main situations.

When Should You Send an FPS?

Employers should submit an FPS on or before the date they pay their employees. This rule applies to weekly, fortnightly, four-weekly and monthly payroll schedules.

You must enter the usual payday in the report, even if you pay employees earlier because of a bank holiday. You can also submit an FPS before the regular payday when necessary, but reporting too early can create problems if employee details or payment amounts change.

Employers who pay HMRC quarterly must still submit FPS reports according to their payroll schedule. Quarterly tax payments do not remove the employee-level reporting requirement.

When Should You Send an EPS?

An EPS becomes necessary when you need to report an employer-level adjustment or confirm that you made no employee payments during a tax month.

For example, an employer who pays staff and claims eligible statutory payment recovery may need to send both reports. The FPS records employee payments, while the EPS reports the amount the employer can recover.

The no payment due EPS process also matters when a business temporarily stops paying staff. Employers should report the inactive period to HMRC rather than leave the PAYE account without an explanation.

What Are the RTI Deadlines for FPS and EPS?

HMRC sets different deadlines for payroll reports and PAYE payments. Employers should track each date separately to avoid missed submissions and incorrect account balances.

The UK PAYE tax month runs from the 6th of one month to the 5th of the next. For example, the tax month running from 6 September to 5 October ends on 5 October. The employer would normally submit any relevant EPS by 19 October.

Employers should check the applicable deadlines against their payroll calendar, particularly around year-end reporting, changes to payroll schedules and periods without employee payments.

Remember that submitting a report does not settle the PAYE bill. Employers must pay the amount due by the relevant payment deadline.

How Do FPS and EPS Affect Your PAYE Bill?

HMRC uses the information from payroll submissions to maintain the employer’s PAYE account. The FPS reports employee pay and deductions, while the EPS reports eligible adjustments that can change the amount payable.

After submitting an FPS, employers can usually view their reported tax and National Insurance liability in their HMRC online account from the 10th of the following tax month. They can then submit an EPS by the 19th to claim applicable reductions.

HMRC updates the account to reflect the information it receives. Employers should compare the account balance against their payroll reports before making payments.

If the balance differs from the expected amount, check the following:

• Did you report the correct employee pay and deductions?
• Did you enter the actual payment date correctly?
• Did you submit the EPS for eligible statutory payments or other reductions?
• Did you make the correct payment to HMRC?
• Has HMRC processed the latest submission?

This payroll reporting HMRC process helps employers identify discrepancies and correct them before they affect later payments.

How Can You Correct an FPS or EPS Error?

Payroll errors can affect employee records, tax calculations and the employer’s PAYE balance. Employers should identify the type of mistake before submitting a correction.

Correcting Errors in Employee Pay or Deductions

If you report incorrect pay or deductions, you can normally correct the figures through your next regular FPS or an additional FPS before the next regular submission is due.

The correction must follow HMRC’s rules for the particular error. Depending on the situation, you may need to update the year-to-date figures, enter the difference in the current-period figures and use the appropriate late reporting reason.

Check the original submission against the payroll records before sending the correction. Avoid repeating the full payment amount in a way that creates a duplicate employee record or incorrectly increases reported pay.

Correcting an EPS Error

If you submit incorrect employer-level information, send a corrected EPS as soon as possible. Check the adjustment, claim amount and reporting period before resubmitting.

If the error affects the PAYE bill, review the updated HMRC account after the correction. You may need to account for an underpayment or overpayment in a later PAYE payment.

For mistakes involving previous tax years, follow HMRC’s specific correction rules instead of assuming the current-year process will apply.

What Happens If You Miss a Payroll Reporting Deadline?

Late or missing submissions can cause HMRC to issue a filing notice or charge a penalty. The outcome depends on the type of report, the circumstances and the applicable rules.

A late FPS penalty may apply when an employer submits an FPS after payday without a valid reason or fails to report payroll information. HMRC recognises specific circumstances in which employers can report late, but the employer must meet the relevant conditions and provide the correct reason.

A missed EPS can also cause problems. If you fail to report a period without employee payments, HMRC may estimate the amount due or issue a penalty.

If you miss a deadline:

• Check which report you failed to submit.
• Prepare and send the missing information as soon as possible.
• Review your HMRC account for estimated charges or penalties.
• Keep evidence of the submission and any valid reason for the delay.
• Follow HMRC’s appeal process if you believe a penalty does not apply.

Employers should not assume that a later report will automatically remove every charge for a missed submission. Send the missing report for the relevant period and check the account afterwards.

How Can Employers Manage Monthly Payroll Reporting Correctly?

A consistent payroll process helps employers meet their obligations and spot errors early. Assign responsibility for each reporting task and keep records that support the figures submitted to HMRC.

Use this monthly process:

• Before payday: Review employee details, hours, salaries, deductions and payment dates.
• On payday: Send the FPS within the required reporting window.
• After the payroll run: Check the submitted figures against the payroll records.
• Before the EPS deadline: Review statutory payment recovery, Employment Allowance claims and any period without employee payments.
• Before paying HMRC: Reconcile the PAYE account against payroll reports and previous payments.
• At month-end: Save submission confirmations and investigate outstanding differences.

Employers should also check their payroll software settings when they change pay frequency, add employees or stop paying staff temporarily.

Conclusion

Understanding FPS vs EPS helps employers report employee payments correctly, claim eligible reductions and meet HMRC reporting deadlines. Send an FPS on or before payday, submit an EPS when the rules require it, and check your PAYE account before making payments. Correct errors promptly and retain supporting records. 

Online Accounting Services UK can help businesses manage payroll submissions, reconcile PAYE liabilities and address reporting problems before they lead to further complications.

Need Help With FPS vs EPS Payroll Reporting?

Managing employee payments, statutory payment claims and HMRC deadlines can take time, particularly for businesses with limited payroll resources. Online Accounting Services UK can support your payroll reporting, submission checks and PAYE reconciliations, helping you maintain accurate records and meet your employer obligations. Contact the team to discuss your UK payroll requirements.

FAQs

Can I send an EPS without an FPS?

Yes. You can send an EPS without an FPS when you have no employee payments to report for the tax month or need to report an applicable employer-level adjustment. You should follow the reporting rules for your situation.

Do I need to submit an EPS every month?

No. You only need to submit an EPS when HMRC requires relevant employer-level information, adjustments or confirmation that you paid no employees during the tax month.

Can I submit an FPS before payday?

Yes. HMRC allows early FPS submissions, but you should not report too far in advance because payroll details can change before payday.

Does an EPS replace an FPS?

No. An EPS does not replace an FPS when you pay employees. The FPS reports employee payments and deductions, while the EPS reports relevant adjustments and periods without payments.

What should I do if HMRC shows the wrong PAYE balance?

Check your FPS and EPS records, payment dates and previous payments. Correct any reporting errors and review the HMRC account after processing. Contact HMRC if the balance remains incorrect after you have checked your records.