Knowledge Hub
Real Time Information: Guidance for 2026/27
Your complete guide to RTI compliance: what it is, what you must report, key deadlines, and how to avoid costly mistakes
Last updated: October 2026 Applies to: 2026/27 tax year
Quick answer: Real Time Information (RTI) is HMRC’s payroll reporting system. It requires employers to report employee pay, tax, and deductions on or before each payday. Introduced in 2013, RTI means HM Revenue & Customs (HMRC) receives your PAYE data every time you pay your people, so it can update tax records and calculate entitlements straight away.
Many employers assume RTI is simply about sending payroll data to HMRC and taking the pressure off year-end reporting. That is, until a late submission, an incorrect payment date, or a Universal Credit issue leads to penalties, employee queries, or compliance risk, all of which are your responsibility to fix.
This guide explains how RTI works, what you need to report, the key deadlines, and the most common mistakes, so you have a clear, practical understanding of how to stay compliant, whatever your payroll setup.
Key takeaways
- Two submission types: You send a Full Payment Submission (FPS) on or before each payday, and an Employer Payment Summary (EPS) by the 19th of the following tax month when you have something to report.
- Who it applies to: Every employer with a PAYE scheme that pays employees, whatever its size.
- Key deadlines: FPS on or before payday, EPS by the 19th of the following tax month, and PAYE payments by the 22nd (monthly, or after each quarter end if you pay quarterly).
- Penalties: Monthly late filing penalties range from £100 (1 to 9 employees) to £400 (250 or more employees) per PAYE scheme.
- Why accuracy matters: RTI data directly affects your employees’ Universal Credit, tax codes, and State Pension records.
What is Real Time Information (RTI)?
Real Time Information is the system HMRC uses for payroll reporting. Under RTI, you submit details of your employees’ pay, income tax, and deductions (including National Insurance contributions and student loan repayments) each time you run payroll, rather than once at the end of the year as you used to.
Who must comply with RTI?
Every business, no matter your size, must use RTI if you run a payroll and pay at least one employee. Your obligation to report begins as soon as you pay your first employee so it’s important to have a PAYE scheme in place beforehand to make sure the necessary account references are in place.
For a quick, practical overview of how RTI fits into each pay run, see our guide to RTI payroll.
There are two different submissions under RTI, including:
Submitted every time you pay employees, containing details of pay and deductions
Used to reclaim statutory payments or report no payments made in a tax month
Here’s how the two submissions compare at a glance:
| FPS (Full Payment Submission) | EPS (Employer Payment Summary) | |
|---|---|---|
| Purpose | Reports employee pay, tax, and NIC deductions | Reports adjustments, reclaims, and statutory payments |
| Frequency | Every payday | When you have something to report |
| Content | Employee details, pay, deductions, and starter and leaver information | Employment Allowance claims, statutory payment reclaims, CIS deductions, and months with no payments |
| Deadline | On or before each payday | By the 19th of the following tax month |
Full Payment Submission
Each time you process payroll, you must provide HMRC with comprehensive details about your employees via your FPS submission, including:
- Personal information: names, addresses, tax codes, and National Insurance numbers
- Pay details: gross pay and year-to-date values for each employee
- Deductions: the amount of income tax and NICs that need to be deducted
- Employment status: whether an employee is a new starter or leaver
This information must be submitted in real-time through the PAYE RTI system on or before your employees’ payday—even if you pay HMRC quarterly instead of monthly. Using this, HMRC calculates the total amount your organisation needs to pay for each employee.
How can you view your FPS submissions?
You can check your FPS reports through your HMRC online account.
If you sent your FPS on time (in the same tax month you paid your employees), you’ll be able to see it from the 10th of the next tax month.
If your FPS was late, the timing changes:
- Sent between the 6th and 11th: Your account updates by the 14th.
- Sent between the 12th and 19th: Your account updates within two days.
- Sent on or after the 20th, with no FPS sent the previous tax month: Your account updates within two days.
- Sent on or after the 20th, with an FPS sent the previous tax month: Your account updates by the 10th of the next tax month.
Employer Payment Summary
An Employer Payment Summary (EPS) reports payments and adjustments that aren’t included in your FPS. HMRC uses it to reduce or adjust what you owe.
You’ll usually send an EPS after your FPS, and much less often: monthly for some employers, once a year for others, depending on when you have something to report. It’s due by the 19th of the following tax month (tax months run from the 6th of one month to the 5th of the next), so HMRC can apply any reduction to what you owe.
You might send an EPS if you need to:
- Make your yearly Employment Allowance claim.
- Reclaim statutory payments, such as maternity, paternity, adoption, neonatal care, parental bereavement, or shared parental pay.
- Report and pay the Apprenticeship Levy, if your annual pay bill is more than £3 million.
- Tell HMRC you didn’t pay any employees in a tax month.
- Tell HMRC you no longer need your PAYE scheme.
- Reclaim Construction Industry Scheme deductions as a limited company.
If you’re closing a PAYE scheme or reaching the end of the tax year, remember to mark your final FPS or EPS as the final submission and that all employees have been correctly marked as leavers where applicable. If you fail to submit a final submission it can result in ongoing filing expectations and penalties that can easily be avoided!
Are any employers exempt from RTI?
RTI applies to almost all employers with a PAYE scheme. In practice, very few employers are fully exempt.
You don’t need to send an FPS when:
- You haven’t paid any employees in a tax month (send an EPS instead).
- Your PAYE scheme is marked as inactive with HMRC.
- HMRC has approved an annual PAYE scheme, so you report once a year.
Using a payroll agent, having a small workforce, or paying only one employee does not remove RTI obligations.
Key RTI deadlines
Here are the key dates every employer needs to meet:
- Full Payment Submission (FPS): On or before each payday.
- Employer Payment Summary (EPS): By the 19th of the following tax month.
- Monthly PAYE payment: By the 22nd of the following tax month (or the 19th if you pay by cheque through the post).
- Quarterly PAYE payment (if eligible): By the 22nd after the end of each quarter (22 July, 22 October, 22 January, and 22 April).
- Final submission of the tax year: Mark your final FPS as final, sent on or before your last payday of the tax year. If you need to send a final EPS instead, it’s due by 19 April.
Your obligations under Real Time Information
RTI can speed up the payroll reporting process, but it can only do so if you follow your obligations as an employer. After all, it doesn’t remove your responsibility! Here’s a few key areas to bear in mind:
FPS
Full Payment Submission Deadline
On or before your employee’s payday, even if you pay HMRC quarterly
EPS
Employer Payment Summary Deadline
The 19th of the following tax month, if you have something to report
Year-end payroll responsibilities
Under RTI, you’ll still need to:
- Submit P11Ds for any benefits or expenses that weren’t payrolled, along with a P11D(b) to report and pay Class 1A NICs.
- Give your employees their P60s at the end of the tax year, summarising their total pay and deductions.
- Complete your year-end checks, like final payroll reconciliations.
Quarterly v monthly PAYE
Most employers pay PAYE monthly. But if you’re a smaller employer and your PAYE and National Insurance bill is below a certain amount each month, you may be able to pay quarterly instead.
Who can pay quarterly?
You can pay your PAYE bill quarterly if your average monthly payments to HMRC are expected to be less than £1,500. This includes:
- Income Tax deducted from employees’ wages
- Employee National Insurance contributions
- Employer National Insurance contributions
- Student loan deductions
This threshold is checked based on expected annual totals. If you qualify, HMRC will allow quarterly payments automatically, or you can request to switch.
Quarterly PAYE deadline
If you’re paying quarterly, your PAYE bill must be paid by the 22nd (or 19th if posting a cheque) after the end of the quarter. The quarters are:
6 April to 5 July
22 July
6 July to 5 October
22 October
6 October to 5 January
22 January
6 January to 5 April
22 April
Data retention and record keeping
You’re legally required to keep payroll records for at least three years after the end of the relevant tax year, and in some cases longer. These records should include:
- employee details,
- pay and deductions,
- National Insurance contributions,
- statutory payments,
- benefits,
- and copies of the information included in FPS and EPS files.
⚠️ Important
What if you don’t meet your obligations?
You could face penalties from HMRC if:
- Your FPS is submitted late
- You fail to send the expected number of FPS submissions
- You don’t send an EPS when you haven’t paid employee taxes in a month
HMRC won’t usually charge a penalty if:
- Your FPS is late, but all the payments on it were made within three days of payday. (HMRC may still contact employers who regularly file late within this window.)
- You’re a new employer and sent your first FPS within 30 days of paying an employee.
- It’s your first late report of the tax year. This doesn’t apply to employers registered as an annual scheme.
Penalty amounts
How much you’ll be liable to pay will depend on how many employees that you have. It’s worth noting that if you run more than one PAYE scheme you can be charged penalties for each. The table below shows the monthly penalty per number of employees:
| Number of employees | Monthly penalty |
|---|---|
| 1 to 9 | £100 |
| 10 to 49 | £200 |
| 50 to 249 | £300 |
| 250 or more | £400 |
What happens if you get a penalty?
HMRC sends penalty notices every quarter. Each notice tells you:
- what you owe,
- how to pay, and,
- what to do if you don’t agree with HMRC’s decision.
You can choose to pay your penalty within 30 days of receiving your notice to avoid being charged interest, or you can choose to appeal online. Reasons to appeal include:
- You think the penalty amount is incorrect,
- You had a reasonable excuse for sending your reports late,
- Or, if you think the penalty is not due.
- The data on the returns was incorrect,
- A death or bereavement,
- The filing expectation was incorrect,
- You filed on time,
- There was a fire, flood, or another natural disaster,
- You (or your finance team) were medically unable to submit,
- There was an IT issue,
- You no longer have any employees,
- You no longer make payments to employees,
- There was a theft or crime,
- Or other; an option that can be used if your reason for appeal does not fall under any of the categories on the online system.
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Why payroll accuracy matters for RTI
RTI data doesn’t just affect HMRC records. The information you submit is also used to calculate employee entitlements and deductions such as student loan repayments, statutory payments, Universal Credit, and State Pension records.
This is why accurate, timely payroll reporting is important—errors can affect both your compliance position and your employees’ personal finances. If HMRC discover careless or deliberate errors in your data, you’ll face penalties that reflect the amount of potential lost revenue for that return and the behaviour around that error.
Why RTI accuracy is critical for Universal Credit
Employer responsibility
UC assessments rely on RTI submissions. This means any errors in pay amounts, payment dates, or submission timing can directly impact an employee’s UC award. Responsibility for accurate reporting sits with you.
Common causes of RTI–UC issues
Problems most often arise from late FPS submissions, incorrect payment dates, duplicate or re-run payrolls, or reporting payments that were later corrected or reversed. Even small inaccuracies can affect UC calculations for that assessment period.
Impact on employees
Incorrect or late RTI data can result in UC underpayments or overpayments, often causing financial strain. Where this happens, employees may need to challenge their UC award—but these disputes usually can’t be resolved until the employer corrects the RTI submission.
What employers should do
If RTI data affects an employee’s UC, employers should first review the relevant FPS and submit a corrected FPS where necessary. Resolving the RTI issue promptly helps the DWP reassess the UC award more quickly.
Common RTI mistakes to avoid
These are the errors employers make most often with RTI submissions:
- Submitting an FPS with the wrong tax year: Especially common in April, when payroll software hasn’t been updated.
- Not updating payroll software before April submissions: This leads to incorrect tax codes, NI thresholds, and rejected submissions.
- Missing or mis-entering the payment date: This causes mismatches in HMRC’s records and potential UC issues for employees.
- Not sending an EPS when no employees are paid: HMRC will expect an FPS, which triggers late filing penalties.
- Not marking the final submission of the tax year: This creates ongoing filing expectations and avoidable penalties.
- Submitting duplicate payroll runs without corrections: This makes it look as though employees were paid more than they were.
- Leaving out late reporting reasons when submitting after payday: This increases the risk of penalties, even when the delay was unavoidable.
Error codes
If your FPS is rejected, you’ll usually see an error code. Your payroll software may show its own messages, but these are some of the most common HMRC codes and how to fix them. Once you’ve fixed the problem, resubmit your FPS.
These are some of the most common error codes and how to fix them:
| Error code | Name | Cause | Fix |
|---|---|---|---|
| 1046 | Authentication failure | Your username, password, or PAYE reference didn't pass the Government Gateway check | Re-enter your credentials manually and check your PAYE reference. |
| 1000 | System failure | An internal HMRC system issue | Wait and resubmit. If it keeps happening, contact HMRC. |
| 4085 | Invalid format | A value is in the wrong format | Check names, addresses, apostrophes, and National Insurance numbers. |
| 7806 | Outside eligible filing period | Your scheme hasn't started, was registered too late, or has ended | Check your scheme's start and registration dates, or contact HMRC. |
Fixing the most common error codes
This usually means there’s unexpected or incorrect content in your submission. Check:
- Business address: Make sure there are no spaces at the start of the address.
- Employee addresses: Check there are no spaces at the start of any employee addresses.
- Employee names: Check there are no extra spaces before employees’ first names or surnames.
- Apostrophes in surnames: For surnames like O’Malley, use a straight apostrophe (‘) rather than a curly one (’).
- National Insurance numbers: Make sure each one is correct and in the right format.
This usually means your username or password didn’t pass the Government Gateway check:
- Check your username and password: If you’re copying and pasting them, try typing them in manually to avoid hidden spaces.
- Check your PAYE reference: Any mistake here can trigger this error.
- New ID or password: If you’ve recently activated new credentials, it can take up to a couple of weeks for HMRC to fully activate them.
This usually means your payroll scheme hasn’t started yet, was registered too late, or has already ended. Check when your scheme was created and registered, or contact HMRC to confirm the details.
This is a temporary problem with HMRC’s systems. Wait a short while and resubmit. If it keeps happening, contact HMRC.
How to rectify RTI errors
Send another FPS with the right payment date, writing “H-correction to earlier submission” in the “late reporting” box. It should be sent by the 19th of the tax month after sending your incorrect submission.
If an FPS is submitted after payday, you should always select a late reporting reason. HMRC uses this information to decide whether a late filing penalty applies. Submitting late without a reason increases your risk of penalties, even if it was unavoidable.
Make sure you rectify this on your payroll records. There’s no need to tell HMRC of this change when your next FPS is due as this could cause a duplication.
Update any corrections in the next FPS. It’s best practice to only inform HMRC of once change at a time to avoid duplicating records.
Click “flexibility” or “pension death benefit payment” then correct the “pensions drawdown taxable payment” or “pensions drawdown non-taxable payment” (or both), noting the difference between your original report and the right numbers.
To correct a mistake made in the current tax year, simply update the year-to-date figures in your next regular FPS.
If you’re correcting an FPS for a previous payment and the ‘payment after leaving (PAL)’ box is ticked, make sure not to enter the same amounts in the ‘pay in period’ and ‘pay in year-to-date’ fields as it will create a duplicate record.
The rules are different if you find a mistake in your final FPS of the year.
- If the mistake was in the tax years between 6 April 2020 and 5 April 2025: Submit an amended FPS with the correct year to date figures.
- If the mistake was in the tax year between 6 April 2019 and 5 April 2020: either; submit a further FPS with the correct year to date figures or an Earlier Year Update (EYU) showing the difference between what you originally reported and the correct figure.
RTI and the end of the tax year
What changes at the end of the tax year
The tax year ends on 5 April, so you need to make sure all payroll information for the year has been reported accurately through RTI. That includes final pay runs, leavers, and any adjustments made before year-end.
⚠️ Important
HMRC no longer requires a separate year-end return, but errors or missing submissions will still cause problems later, especially when HMRC reconciles employee tax records or when you issue P60s.
At the same time, your payroll systems will need to be updated for the new tax year. This typically includes new tax codes, National Insurance thresholds, statutory payment rates, and student loan repayment plans. If these updates are not applied correctly, RTI submissions in the new tax year may be rejected or flagged by HMRC.
The first FPS of the new tax year
The first Full Payment Submission (FPS) of the new tax year is especially important. It tells HMRC that you are continuing to employ and pay people into the new tax year, using the updated rules and thresholds.
This FPS must:
- Use the correct tax year
- Include the correct payment date
- Reflect any new tax codes or rate changes
Sending an FPS with the wrong tax year, or before your payroll software has been updated, is a common cause of RTI errors in April. These mistakes can lead to incorrect tax calculations, mismatched HMRC records, and follow-up queries that take time to resolve.
Payroll software and Real Time Information
The right payroll software can turn RTI submissions from a daunting task into a simple, accurate one, as long as you choose a reliable, HMRC-recognised provider (like Cintra). GOV.UK has a list of HMRC-recognised payroll software to help you choose.
Whichever provider you choose (or even if you outsource payroll entirely), RTI compliance is still your responsibility. Keeping your payroll system up to date and making sure your FPS and EPS submissions are sent on time helps you stay compliant and reduces the risk of HMRC penalties.
Every payroll platform handles RTI a little differently, but here are the basic steps to prepare for your RTI submissions:
Check your software has RTI capability and it’s fully enabled
Make sure your data contains only people you currently employ or need to be reported as a leaver
Log into HMRC Online with your organisation’s credentials and make sure you’re registered for “PAYE for Employers”
Make sure the references from HMRC Online and the Employer page on your payroll software are the same
Make sure the Accounts Office Reference is right on your Employer Page
When key details like a P45, National Insurance number, or correct starter declaration are missing, you must use HMRC’s default processes for new starters. This often means placing the employee on an emergency tax code, which can lead to the employee paying too much or too little tax until HMRC updates their record.
Under RTI, incomplete or incorrect starter information is reported immediately to HMRC through the first Full Payment Submission (FPS). If details are missing or wrong, HMRC can:
- Delay issuing the correct tax code
- Query the submission or flag inconsistencies
- Require corrections to be submitted later
For you, this can create additional admin, employee frustration, and an increased risk of errors that need correcting in later payroll runs. And that’s without the possible complications later down the line in your end-of-year checks if starter details were never properly updated.
Having accurate details from day one helps ensure the right tax is applied, RTI submissions are correct, and payroll records stand up to HMRC scrutiny.
Paying your employees
Check your software has RTI capability and it’s fully enabled
Make sure your data contains only people you currently employ or need to be reported as a leaver
Log into HMRC Online with your organisation’s credentials and make sure you’re registered for “PAYE for Employers”
Make sure the references from HMRC Online and the Employer page on your payroll software are the same
Make sure the Accounts Office Reference is right on your Employer Page
RTI allows multiple payroll runs in the same pay period, but each payment must be reported to HMRC with its own FPS on or before the payment date. Every FPS uses cumulative year-to-date figures, not just the amount paid in that run.
Problems occur when payrolls are re-run or duplicated without correcting earlier submissions. This can make it look like employees have been paid more than they have, leading to incorrect tax codes and HMRC discrepancies.
If a mistake is made, a corrected FPS should be submitted with the right cumulative totals, and a late reporting reason included where relevant. Multiple runs are fine as long as they are handled timely and accurately to keep yourself compliant.
No matter whether your people are temporary, seasonal, or casual, you still need to include them as an employee in your payroll and submit their information to HMRC as you would a full-time employee. This applies to onboarding and offboarding too, from accepting a P45 from their previous employer to marking them as a leaver as they leave the business. All leaver information will also be included on their final FPS to inform HMRC they no longer work for your business, making sure your records are accurate and your tax calculations reflect your current team.
Yes, directors and employees paid irregularly are still subject to RTI, but their payroll setup is especially important.
Directors are often paid annually or on an ad-hoc basis and may be assessed using an annual earnings period. Even so, an FPS should still be submitted whenever a payment is made.
If you pay directors or staff irregularly, make sure your payroll software is configured correctly, as incorrect setup can lead to late filing penalties or inaccurate National Insurance calculations.
How does payroll software handle RTI reporting and submissions?
Payroll software helps make sure everything is processed accurately and reported to HMRC. Here are some of the core tasks it can handle:
- Recording employee details, including starters, leavers, and changes to personal information.
- Calculating pay, tax, National Insurance, and statutory payments in line with current HMRC rules.
- Working out payroll deductions and the overall amount you owe HMRC.
- Validating payroll data before submission to reduce errors and rejections.
- Keeping clear audit trails and reports to support compliance and record keeping.
Outsourcing your payroll can significantly reduce the risks associated with RTI. By delegating to qualified payroll professionals, you can rest assured that no silly errors will slip through the cracks and that every complexity is covered for you, giving you the time back to focus on your core operations.
While it can significantly reduce day-to-day admin, it doesn’t change where legal responsibility sits.
When you appoint an agent, they are authorised to submit RTI information to HMRC using your PAYE scheme details. In practice, this means they will prepare and submit your FPS and, where required, EPS, based on the payroll data you provide, on your behalf.
Even though an agent may send your FPS and EPS, HMRC holds you legally responsible for:
- The accuracy of the payroll data.
- Submitting RTI on time.
- Correct payment dates and late reporting reasons.
- Paying the right amount of tax and NICs.
If an RTI submission is late, incorrect, or missing, any penalties or compliance action will be directed at you, not your bureau. That’s why choosing a provider you trust matters. If you’d like to hand over the whole process, take a look at our fully outsourced solution.
Glossary
FPS
Full Payment Submission: Sent to HMRC every time you pay an employee.
EPS
Employer Payment Submission: Sent when you need to claim a reduction, report the Apprenticeship Levy, or tell HMRC you haven’t paid anyone. It’s due by the 19th of the following tax month.
NVR
National Insurance number verification request: Used to verify or obtain a national insurance number for your employees.
EAS
Employer Alignment submission: Used to align employee records with HMRC when employers first moved to RTI. It’s rarely needed now.
CIS
Construction Industry Scheme: HMRC’s scheme for payments from contractors to subcontractors in the construction industry.
EYU
Earlier year update: Used to correct PAYE information for earlier tax years. For tax years from 2020/21 onwards, HMRC expects an additional FPS instead.
Frequently Asked Questions
Q. What is Real Time Information (RTI) in payroll?
A. Real Time Information (RTI) is HMRC’s system for reporting payroll data each time employees are paid. You must submit details such as pay, tax, and National Insurance in real time rather than at year end, ensuring HMRC records are always up to date.
Q. Who must comply with RTI?
A. Every employer with a PAYE scheme that pays employees must report through RTI, whatever the size of the business. Your obligation starts as soon as you pay your first employee.
Q. When do you need to submit RTI to HMRC?
A. You must send your FPS on or before the date your employees are paid. That applies to every payroll run, whether it’s weekly, monthly, or irregular. Late submissions can lead to penalties and inaccurate tax records for your employees.
Q. What are the different RTI submissions (FPS and EPS)?
A. RTI submissions include the Full Payment Submission (FPS) and Employer Payment Summary (EPS). The FPS is sent every time employees are paid and includes pay and deductions. The EPS is submitted when adjustments are needed, such as reclaiming statutory payments or reporting no payments.
Q. What happens if RTI submissions are late or incorrect?
A. Late or incorrect submissions can lead to HMRC penalties and compliance issues. You may need to send corrections, and late filing penalties depend on how many employees you have. Errors can also affect your employees’ tax codes and entitlements, including Universal Credit.
Q. What information is included in an RTI submission?
A. An RTI submission includes employee details, pay amounts, income tax, National Insurance contributions, and other deductions. It may also include statutory payments, student loan deductions, and pension contributions, depending on the payroll.
Q. What has changed for RTI in the 2026/27 tax year?
A. How RTI works hasn’t fundamentally changed for 2026/27, but there are updates your payroll needs to reflect. As well as the usual new rates and thresholds, Statutory Sick Pay (SSP) changed from 6 April 2026. It’s now payable from the first day of sickness, and the lower earnings limit has been removed. Looking ahead, mandatory payrolling of benefits in kind starts on 6 April 2027, beginning with company cars, vans, fuel, and medical cover. These benefits will be reported through your FPS rather than on P11Ds, so it’s worth checking your payroll software is ready.
Q. How quickly do you need to correct a payroll error you've reported to HMRC?
A. If you spot an FPS error in the current tax year, HMRC expects a correction FPS within 14 days of the tax month end—by the 19th of the following month. Miss it, and the fix rolls forward to whichever month it lands in. For earlier tax years, the FPS route closes 19 April after the tax year ends. After that, you'll need an Earlier Year Update (EYU) instead.
A lot of employers treat this as a "next payroll run" job, but be aware: delays can affect an employee's Universal Credit, since DWP pulls earnings straight from the RTI feed. Correcting promptly—and confirming it to the employee in writing—protects them and reduces the chance of a dispute later.
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