What is RTI: Real-Time Information (RTI) reporting for PAYE? How does it work?

At a glance

Real-Time Information (RTI) means reporting payroll almost in 'real-time' to HMRC. Employers report to HMRC electronically in advance of making any salary or wage payments to employees.

RTI concessions history

See 'RTI News' below for full details.


Under RTI employers are required to make:

Getting started

You need to be online with the correct software and ensure that the data you hold on your employees is complete.

All employers have to:

1. Ensure that their software is RTI enabled.

2. Cleanse the data on their payroll to ensure that they are holding only the current details of their employees.

3. Collect the passport numbers of all new employees.

4. Ensure that they have all the details required to run the payroll before they start. It looks as if it will be complicated to correct reporting errors.

5. This is a fundamental change to PAYE reporting so it will be advisable for all employers and payroll bureau to allow extra time to file payrolls.

RTI Penalties

Penalties under RTI include:

Penalties will be calculated automatically and employers will be able to appeal penalties. It is anticipated that HMRC will not set its computers to deliberately delay in notifying late filing penalties, as it has done in the past for PAYE reporting.

RTI Resources

The ICAEW, ICAS, ACCA and Federation of Small Business have set up a new website: which will carry guidance.