First Payslip Explained (UK) — Italians’ Easy Guide (2025)
Why this guide (and what you’ll learn)
Your first payslip can be confusing. Many Italians see emergency codes, odd numbers, or missing overtime. This guide uses simple English to show what each line means, why amounts change, and what to do if it looks wrong.
- Find and understand each payslip box in minutes.
- Know when low pay is normal (starter/pro-rata) vs. a mistake.
- Copy-paste templates to contact payroll and fix issues fast.
1) What’s on a UK payslip (at a glance)
Every company uses a different layout. But you will usually see these sections. Use this list to find them fast.
Top area
- Employer name and your employee/payroll number.
- Pay period and pay date.
- Your name and address (check spelling).
Middle area
- Gross pay (basic + overtime + bonuses).
- Deductions (PAYE tax, NI, pension, student loan).
- Tax code and NI letter/category.
Bottom area
- Net pay (money to your bank).
- YTD figures (since April of the tax year).
- Notes (holiday pay, adjustments, messages).
2) Gross → Net walkthrough (simple example)
This is not a live calculator. It is a simple explanation to help you understand how gross pay becomes net pay. Real numbers depend on your code, hours, and benefits.
| Line | Example | What it means |
|---|---|---|
| Basic pay | £1,500 | Hours × rate, or monthly salary pro-rata |
| Overtime/bonus | £150 | Extra hours or bonus this period |
| Gross pay | £1,650 | Before deductions |
| PAYE tax | £X | Depends on tax code and YTD |
| National Insurance | £Y | Depends on NI letter/category and pay |
| Pension (if enrolled) | £Z | Employee share of pension contributions |
| Net pay | £1,650 − (X + Y + Z) | Money sent to your bank account |
Your first month may be lower if you started part-way through the pay period or if emergency codes apply temporarily.
3) Tax code box — quick meanings & fixes
Your payslip shows a tax code. It tells payroll how to apply your allowance and rate. Here are common ones.
| Code | Meaning | Seen when | Action |
|---|---|---|---|
| 1257L | Standard allowance for many employees | Main job, full details known | Usually fine |
| BR | Basic rate on all pay (no allowance) | Second job or missing starter info | Provide details; see our Tax Code guide |
| 0T | No allowance applied | Often first payslip; missing info | Send info; ask payroll to re-check |
| W1/M1 | Emergency per-period basis | Temporary starter basis | Often auto-fixes next month; chase if not |
| D0/D1/Kxxx | Higher/Additional/Negative allowance | High income or adjustments | Check HMRC letters if unsure |
4) National Insurance (NI) letters (A/C/H/M/Z) in simple words
Your payslip shows an NI category letter. It sets the NI rate you pay. Here is a plain-English explainer.
Common letters
- A — Standard for most employees.
- C — Over state pension age (no employee NI).
- H — Apprentice under certain conditions.
- M — Under 21 (reduced employer NI rules).
- Z — Under 21 with certain reduced employer NI.
What to do
- Check the letter makes sense for your situation.
- If unsure, ask payroll to confirm why this letter applies.
- Keep your NI number safe and share with HR when issued.
5) YTD figures (Year-To-Date) and why they matter
The UK tax year runs from April to April. YTD totals help you and payroll see how much pay, tax, and NI you have had so far. When you start mid-year or the code changes later, YTD helps smooth things.
- YTD pay increases each month as you earn.
- YTD tax and NI show cumulative deductions.
- If a code was wrong, later YTD can correct totals.
6) Common surprises on the first payslip
Pro-rata pay
You started mid-period, so you are paid for part of the month only. Next month will be higher if you work the full period.
Emergency code
BR/0T or W1/M1 appears. It often fixes after HMRC receives your starter info. If not, see our Tax Code guide to correct it.
Missing overtime
Some firms pay overtime one period later. Check the company cutoff date. It may appear next month.
7) If something looks wrong — do this
- Take a clear photo or export a PDF of your payslip.
- Highlight the lines that look wrong (rate/hours/code).
- Check your contract for rate, hours, overtime policy.
- Email payroll with bullet points (use our templates).
- For code issues, follow the Tax Code fix steps.
Pro tip
Keep a small log: dates, who you spoke to, what they said. This helps if a correction or refund is needed later.
8) Email/Chat templates to payroll (easy English)
A) First payslip check — rate/hours
Subject: First payslip check — <Your Name>, <Employee ID> Hello Payroll, Could you please help me confirm my first payslip? • Pay period: <dates> • My rate/hours in contract: <rate/hours> • Payslip shows: <line from payslip> I want to be sure everything matches my contract. Thank you very much! Kind regards, <Your Name>
B) Missing overtime or bonus
Subject: Overtime/bonus not shown — <Your Name> Hello Payroll, I cannot see my overtime/bonus for <date/work>. Could you confirm the cutoff date, and if it will appear on the next payslip? Thanks for your help, <Your Name>
C) Tax code query (links to fix)
Subject: Tax code on payslip — request to check Hello Payroll, My payslip shows tax code <1257L/BR/0T/W1-M1>. I started on <date>. Do you have my new starter information/P45 and my National Insurance Number (or application ref)? If needed, I will also contact HMRC to correct the code. Thank you! Kind regards, <Your Name>
Need the full correction flow? See UK Tax Code for Italians — Fix Emergency Tax.
D) NI letter clarification
Subject: NI category on payslip — clarification Hello Payroll, My payslip shows NI category <A/C/H/M/Z>. Could you confirm that this is correct for my situation? If anything needs updating, please let me know what you need from me. Thank you, <Your Name>
9) Mini glossary (easy English)
- PAYE: “Pay As You Earn” tax system through your payroll.
- NI: National Insurance contributions.
- Gross pay: Before deductions.
- Net pay: Money paid to your bank.
- YTD: Totals since April of the tax year.
- P45: Form from a previous job in the UK.
- P60: Year-end summary from your employer.
- SSP/SMP/SAP: Statutory payments (sick, maternity, adoption).
- Auto-enrolment: Automatic pension enrolment rules.
10) 10-minute payslip checklist (save this)
- Correct name/address, payroll number, and pay dates.
- Rate/hours match your contract; overtime policy understood.
- Tax code and NI letter look right for you.
- Gross → deductions → net makes sense; compare to last month later.
- YTD figures appear and grow month by month.
- Keep a PDF copy; email payroll if something is unclear.
Want us to check your payslip today?
Send your payslip and contract. We highlight the issues, prepare the exact message to payroll, and link the right tax-code fix if needed.
This guide is general information, not financial or tax advice. Employers and payroll systems differ. Always follow your employer’s official payslip and HR guidance, and HMRC instructions when needed. Some links may earn us a small commission at no extra cost to you.
Appendix A — Finding items on different payslip layouts
Some payslips are landscape PDFs, others are portal screenshots. If you cannot find a box, search for these keywords:
Tax code & NI
- Look near “Tax details” or “PAYE”.
- Sometimes in a right-hand column sidebar.
- NI letter may sit next to NI totals.
Gross & net
- Gross is above deductions lines.
- Net is often bold or at the bottom.
- YTD totals near the bottom or on last page.
Notes
- Watch for footnotes about overtime cutoffs.
- Read messages from payroll about code changes.
- Save a copy with file name “YYYY-MM_payslip.pdf”.
Appendix B — Pro-rata examples (starter mid-month)
If you start on the 15th, many employers pay half a month first, then full months after. Here is a simple idea:
| Scenario | What you see | Why |
|---|---|---|
| Start 15th on monthly salary | Half a month of basic pay | Only half the period worked |
| Start 3rd on weekly pay | Partial first week | Cutoff may be mid-week |
Appendix C — Overtime and cutoff rules (why it shows later)
Many firms have a cutoff date. Hours after that date appear next month. Ask HR which date applies to you.
- Submit timesheets early and keep copies/screenshots.
- Confirm your overtime rate and approval process.
- Escalate politely if approved hours are missing later.
Appendix D — Pension auto-enrolment timing
You may be enrolled after a few weeks/months depending on employer rules and thresholds. Your contribution then appears as a deduction.
- Read the welcome email from the pension provider.
- Decide if you stay in or opt out (deadline applies).
- Keep letters safe for future reference.
Appendix E — Student loan deductions (and PGL)
If you told payroll you have a student loan (or PGL), you may see a line for it. It is not tax; it is a loan deduction rule.
- Check the plan type you told HR (1, 2, 4, or PGL).
- If it looks wrong, email payroll to confirm plan type.
- Keep official letters from your loan company.
Appendix F — Benefits in kind & K codes (concept only)
Some jobs have taxable benefits (car, medical, etc.). HMRC may use a K code to collect extra tax during the year.
- Read HMRC letters carefully and keep them safe.
- Ask payroll to explain how benefits show on payslips.
- Check our Tax Code guide if a K code appears.
Appendix G — Name & address consistency (Italians’ tip)
Use the same spelling as your passport. If a system rejects accents, remove them everywhere (HR, bank, council) to avoid mismatches.
- Keep a note with your exact chosen format.
- Update HR if your address changes (postcodes are precise).
- Save letters as PDFs in a cloud folder.
Appendix H — Final payslip when you leave
Your final payslip may include holiday pay balance, last overtime, and a P45 for your next employer.
- Ask when the P45 will be available.
- Confirm your address is updated for final documents.
- Keep copies for your records and future jobs.
Appendix I — Weekly vs monthly payslips
Weekly pays some lines differently than monthly, but the same boxes exist: code, NI, gross, deductions, net.
- Cutoff is usually mid-week for weekly payroll.
- YTD still accumulates across the tax year.
- Keep each PDF; weekly can be many files.
Appendix J — Holiday pay methods (rolled vs accrued)
Some employers roll holiday pay into each wage; others accrue it and pay when you take time off. Check your contract or HR.
- Rolled pay: extra % shown each period.
- Accrued: balance tracked, paid when used.
- Ask HR to explain your method in writing.
Appendix K — Statutory payments (SSP/SMP/SAP) at a glance
If you are sick, on maternity, or adoption leave, you may see statutory payment lines. Ask HR for eligibility rules.
- SSP: Statutory Sick Pay — waiting days may apply.
- SMP/SAP: maternity/adoption pay with set rates and weeks.
- Keep official letters and dates carefully.
Appendix L — Bank account & sort code tips
If net pay does not reach your account, check the account number and sort code HR has on file. Typos can delay payments.
- Confirm numbers when you start your job.
- Use your own UK account; avoid shared accounts.
- Notify payroll early if you change bank details.
Appendix M — Keep records like a pro
Good records make everything easier (mortgages, visas, benefits, future jobs).
- File names: surname_payslip_YYYY-MM.pdf
- Backups: cloud + local copy.
- A folder per year for payslips and P60s.
Appendix N — When to ask for help
If you have multiple incomes, benefits in kind, or repeated errors, ask for a quick review. A short expert look can save time and stress.
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