The New Starter Checklist is used to gather information about a new employee, ready to set them up on your payroll system. It helps employers operate the correct tax code against an employee’s income, which avoids any under or overpayments.
Employees starting a new job often have a P45 from their previous job so they can give this information to their new employer, but not always. The New Starter Checklist will help you collect the details you need.
Does every employee need to complete a new starter checklist?
If your new employee has a P45 then you won’t normally need to ask them to complete a starter checklist, but it’s good practice to collect this information in case their circumstances have changed since their P45 was issued.
There are lots of reasons why a person may not have a P45 to give you when they start, and it’s nothing to worry about:
They may not have received it from their previous employer
It could have been mislaid
They might be starting their first job, perhaps from school or after a long period of unemployment
The worker may have another job, or they might be a student who is just going to be employed by you during the holidays
Do I need to send the checklist to HMRC?
The checklist is just between an employer and employee, and is not sent on to HMRC. Employers who need to pay a worker through PAYE will include them on their Full Payment Submission (FPS) the first time the employee is paid.