How to Get a P45? – A Complete Guide

What happens to your tax records when you leave a job in the UK? How does your new employer know how much tax you have already paid, or what your current tax code is? The answer lies in a crucial document,  the P45.

A P45 is an official record of an employee’s earnings and tax deductions in the current tax year, issued when they stop working for an employer. It is part of the UK’s PAYE (Pay As You Earn) tax system and ensures smooth transfer of tax information from one employer to another, preventing overpayment or underpayment of income tax.

For employees, having a P45 is vital when starting a new job, claiming certain benefits, or beginning to draw a pension. For employers, it is a legal requirement to issue one promptly when employment ends.

This guide explains exactly what a P45 is, when it should be issued, how to get one, what to do if it’s missing or wrong, and why keeping it safe matters.

What Is a P45 Form and What Does It Contain?

A P45 is a document given by an employer to an employee when they leave a job. It summarises the employee’s total pay and tax deductions for the tax year up to their leaving date. Without it, a new employer or pension provider will not have accurate tax details, which can result in emergency tax deductions.

While there is no single standard design for a P45, every version contains the same essential information, including the employee’s name, address, National Insurance number, start and end dates of employment, total pay to date, income tax paid to date, and current tax code.

The P45 is divided into four parts:

• Part 1 is sent by the employer directly to HMRC.
• Part 1A is kept by the employee for personal records.
• Parts 2 and 3 are given to the new employer so they can apply the correct tax code.

This structure ensures that all parties like HMRC, the former employer, the new employer, and the employee and have the information they need for accurate tax processing.

When Should an Employee Receive a P45?

Under UK law, a P45 must be provided whenever an employee stops working for an employer, regardless of the reason for leaving. This applies whether the departure is due to resignation, redundancy, dismissal, or retirement.

The form should be issued on or shortly after the employee’s final working day, often alongside their final payslip. It is particularly important to note that the document reflects earnings and tax for the current tax year up to the leaving date, not the entire year.

If an employee leaves partway through the tax year, the P45 ensures that their new employer can continue their PAYE records without causing tax code errors. Without it, HMRC may place the employee on an emergency tax code, potentially leading to higher deductions until records are corrected.

How Does an Employee Get a P45 from Their Employer?

In most modern workplaces, payroll software automatically generates a P45 when an employee’s leaving date is processed. This can then be issued as a paper document or, increasingly, in electronic form via secure email or an online payroll portal.

For smaller employers or those exempt from online filing, HMRC’s free Basic PAYE Tools can be used to produce the document. In both cases, the employer is responsible for ensuring that the P45 is issued and the correct parts are sent to HMRC and the employee.

Employees do not need to apply for a P45 in advance; it should be provided as part of the standard payroll process. However, if it is not received within a reasonable time, it is advisable to contact the employer’s HR or payroll department directly.

What Can an Employee Do If Their Employer Will Not Provide a P45?

While most employers comply with the legal requirement to issue a P45, situations can arise where the document is delayed or not provided. In such cases, the first step should always be to check with the HR or payroll department to confirm that the leaving date has been processed. Delays can sometimes occur due to payroll cycles or administrative backlogs.

If the employer still fails to provide the document, the new employer can use a starter checklist instead. This gathers essential information about previous jobs, benefits, and other income so that a provisional tax code can be applied.

Persistent refusal or inaction from a former employer may require contacting HMRC. They can intervene, as employers face potential penalties for failing to meet their obligations. In rare cases, legal advice from an employment solicitor may be necessary to resolve the issue.

How Can Errors on a P45 Be Corrected?

It is important to check the details on a P45 as soon as it is received. Errors in tax codes, pay figures, or personal details can result in incorrect tax deductions. If mistakes are found, the employee should contact their former employer immediately to request a corrected version.

If the issue involves the tax code rather than payroll figures, HMRC should be contacted directly. They can adjust the code to ensure that future earnings are taxed correctly. Until a corrected P45 is received, a new employer may rely on the starter checklist, but this is only a temporary measure.

What Happens If a P45 Is Lost?

Losing a P45 can be inconvenient, but it is not the end of the process. The original employer can provide a duplicate copy, but HMRC cannot reissue the form directly to the employee. If the employer no longer exists or cannot provide it, the new employer will rely on the starter checklist instead.

Without a P45, there is a risk of being placed on an emergency tax code. This can mean higher initial deductions until HMRC receives the correct information. Employees should therefore act quickly to replace or substitute the document.

How Long Is a P45 Valid and Why Should It Be Kept?

A P45 is valid only for the remainder of the tax year in which it was issued. If starting a new job in the next tax year, the starter checklist will be used instead. However, keeping the document beyond its validity period is sensible.

Employers are required to keep copies of P45s for at least three years, and HMRC can request historical records going back decades. For individuals, retaining these forms provides a complete record of tax and employment history, which can be useful when dealing with pensions, benefits, or financial checks.

What Do Employers Need to Know About Issuing P45s?

Employers must ensure that they meet their obligations under PAYE rules. This includes generating the P45 when an employee leaves, sending Part 1 to HMRC, and providing Parts 1A, 2, and 3 to the employee.

For most employers, payroll software handles this automatically. For those unable to file online due to exemption or exceptional circumstances, HMRC’s Basic PAYE Tools offer an alternative. Employers should also be aware of related PAYE forms such as the starter checklist, P46(Car), and the online-only P11D for benefits and expenses.

What Happens to a P45 When an Employee Retires?

When an employee leaves their final job to retire, the process for issuing a P45 is the same as for any other departure. The key difference is that the P45 should then be passed to the pension provider. This ensures that pension payments are taxed correctly from the outset, avoiding overpayment and later adjustments.

How Can You Request a P45?

Why Does Getting a P45 Matter?

A P45 is more than just an administrative formality and it is a key part of ensuring fair and accurate tax treatment when changing jobs, retiring, or claiming benefits. Both employees and employers have clear roles in handling the document, and delays or errors can have financial consequences. By understanding the process, knowing legal rights, and acting quickly if problems arise, employees can make sure their tax records remain accurate and up to date.

Frequently Asked Questions About P45

What is the difference between a P45 and a P60?

A P45 is given when leaving a job and shows tax and pay for part of the tax year. A P60 is issued annually, showing total figures for the full tax year.

Can a P45 be issued before final pay?

No. It must reflect all earnings and deductions up to the last day of employment.

How long should employers keep P45 records?

At least three years from the end of the tax year, though keeping them longer can be useful.

What happens if a new job starts without a P45?

The new employer will use a starter checklist to determine a temporary tax code.

What is a starter checklist used for?

It is used when an employee starts work without a P45, ensuring tax is deducted accurately until official details are provided.

Can I get a copy of my P45 from HMRC?

No. HMRC does not hold copies of P45s for employees. Only the employer who issued it can provide a duplicate. If that employer no longer exists, a starter checklist will be used instead.

When should I get my P45 when I leave a job?

A P45 should be given to you on your final working day or shortly afterwards, often with your final payslip. If you do not receive it within a reasonable period, you should contact your employer’s payroll or HR department.