QuickBooks Payroll UK: Cost, Features and Discount

How much does QuickBooks Payroll cost?

What we can tell you precisely is the cost of the accounting plan underneath. For a business with staff, the usual base plan is Simple Start at £1.60 a month + VAT on today's deal, or Essentials at £3.80 a month + VAT if you need 3 users. Year one for Essentials on the deal is £250.80 + VAT before payroll.

What QuickBooks Payroll includes

• RTI submissions to HMRC (FPS and EPS)
• Digital payslips for employees
• Workplace pension auto enrolment
• NEST and other pension provider integration
• Statutory pay: SSP, SMP, SPP and more
• P60s and year end submissions

RTI submissions to HMRC

Under Real Time Information, employers must tell HMRC about every payment to employees on or before payday. QuickBooks Payroll sends the Full Payment Submission (FPS) each pay run and the Employer Payment Summary (EPS) when needed, for example to reclaim statutory pay or claim the Employment Allowance. It then shows what you owe HMRC for PAYE and National Insurance and when it is due.

Payslips

Employees get digital payslips they can view online. Tax codes, student loan and postgraduate loan deductions, and salary sacrifice are handled automatically from the details you enter.

Statutory pay

Statutory Sick Pay, Statutory Maternity Pay, Statutory Paternity Pay, Shared Parental Pay and Statutory Adoption Pay are calculated for you, including the amount you can recover from HMRC where eligible.

Auto enrolment and pensions

Every UK employer must assess staff for a workplace pension. QuickBooks Payroll checks eligibility each pay run, calculates employer and employee contributions, handles opt outs and postponement, and produces the letters you must send.

NEST and other pension providers

Contribution files can be sent to NEST, the government backed pension scheme, and other major providers, saving you manual uploads and reducing the risk of late contributions.

Year end

P60s for employees and the final submission of the tax year are produced from the same data, so there is no separate year end process. P45s are generated when someone leaves.

Core vs Premium vs Elite

Payroll Core suits small employers and directors paying themselves. It covers RTI, payslips, statutory pay and auto enrolment.

Payroll Premium typically adds timesheets and faster support. Useful for hourly staff and businesses that pay weekly.

Payroll Elite typically adds an expert setup review and priority support. Worth considering if you are moving a larger payroll mid year.

Exact features per tier change, so compare them on Intuit's payroll page before choosing.

Who needs QuickBooks Payroll?

• Limited company directors paying a salary, often set around the personal allowance or National Insurance thresholds.
• Sole traders and partnerships with employees.
• Landlords employing a property manager or caretaker.
• Construction firms paying staff alongside CIS subcontractors. CIS payments to subcontractors are separate from payroll.

If you have no employees, you do not need payroll. Sole traders pay themselves through drawings and Self Assessment instead. See our QuickBooks sole trader guide.

Setting up payroll: what you need

1. Your employer PAYE reference and Accounts Office reference from HMRC.
2. Each employee's name, address, date of birth, National Insurance number, tax code and start date.
3. Year to date pay and tax for anyone already paid this tax year.
4. Your pension provider details and staging information.
5. Your pay schedule: weekly, fortnightly, four weekly or monthly.

QuickBooks Payroll vs alternatives

HMRC offers free Basic PAYE Tools for employers with fewer than 10 employees, but it does not produce payslips or handle pensions. Standalone payroll bureaus usually cost more per employee. QuickBooks Payroll sits in the middle: integrated with your accounts so wages, PAYE and pension costs post automatically. For a wider comparison, see Xero vs QuickBooks.

Keeping total cost down

Your total is the accounting plan plus payroll. The accounting plan is where the big discount sits, so claim the QuickBooks discount first, then add payroll. Full plan costs are on our QuickBooks pricing UK page.

Your first pay run in QuickBooks: step by step

1. Choose your accounting plan through the deal link, usually Simple Start or Essentials, and choose Buy Now.
2. Add payroll from the Payroll menu and pick a tier. Check the current payroll price on the QuickBooks site at this point.
3. Enter employer details: PAYE reference, Accounts Office reference and whether you claim the Employment Allowance.
4. Add employees with tax codes, NI numbers and any year to date figures.
5. Set up the pension scheme and confirm auto enrolment assessments.
6. Run payroll: review gross to net, approve, and QuickBooks sends the FPS to HMRC.
7. Pay staff and HMRC: pay net wages, then PAYE and NI by the 22nd of the following month if paying electronically.

Payroll examples by business type

One person limited company

A director pays themselves a small monthly salary through payroll and takes dividends on top. Simple Start on the deal costs £105.60 + VAT in year one, plus the payroll add on.

Café with four staff

Weekly hourly pay, holiday pay and auto enrolment. Essentials covers the owner and a manager logging in, at £250.80 + VAT in year one, plus payroll.

Builder with employees and CIS subcontractors

Employees go through payroll and RTI. Subcontractors are paid under CIS, which is separate. Plus adds project tracking, at £369.60 + VAT in year one, plus payroll.

Working out your total monthly cost

Your bill has three parts: the accounting plan, the payroll add on, and VAT on both. The accounting plan is the part we can price exactly from Intuit's UK list, and it carries the 90% promotion. For payroll, see the current price on the QuickBooks site, including any per employee fee, and add it on. If you are VAT registered you can usually reclaim the VAT on both.

A useful habit is to review headcount each quarter. If you have dropped to a single director with no staff, a lighter payroll tier may be enough. If you are hiring, check you have enough user seats before your new manager starts.

Payroll mistakes to avoid

Late FPS submissions

The FPS is due on or before payday. Late filing can bring HMRC penalties, so run payroll a day or two early.

Missing auto enrolment duties

Even with one employee you have pension duties. Let QuickBooks assess staff every pay run.

Picking too small a plan

If your office manager needs to run payroll, you need a plan with enough users. Sole Trader Plus and Simple Start are single user.