What are gross pay and taxable pay?
Gross pay is the employee’s pay of any kind, including:
- notional pay
- share based remuneration
- the employee's pay before any pension contributions or salary sacrifice deductions are made.
Chapter 3 of the Employers’ Guide to PAYE details the different types of pay that would be included.
Taxable pay is your employee's gross pay less any contributions the employee makes to a:
You must deduct these amounts from your employee's gross pay before you calculate the tax.