As part of a broader piece of work to improve the experience for our PAYE freelancers, we are changing the frequency for when they are paid.
From Friday 10th October, any PAYE freelancers will be paid via a weekly payroll.
Why is the payroll frequency changing to weekly?
The change aims to provide you with more frequent payments closer to when the work is completed.
How will the transition affect my payment schedule?
Instead of receiving your payments once a month or waiting 6 weeks in some scenarios, you will now be paid weekly. Click here to find out how the weekly payroll will work.
How does this affect me?
You’ll need to:
- Accept bookings promptly on the freelance payment portal
- Your payments will automatically claim as set up by your ÃÛÑ¿´«Ã½ Contact on the payment schedule. This can be found on the .
- Check your payslips regularly.
Can I opt out of the change and remain on monthly payroll?
In direct response to freelancer feedback, we are moving PAYE freelancers from a monthly to a weekly payroll. This change offers several benefits including more frequent payments, payment closer to the time work is completed, greater flexibility in scheduling, enhanced support for socio-economic diversity across our freelancer population.
As part of this transition, all PAYE freelancers will be moved to a weekly payroll.
From a system perspective, we are currently unable to offer the option to choose a preferred payment frequency and therefore there is not an option to remain on a monthly payroll.
For further details about the transition and what it means for you, please visit Important Update: Payroll Changes for PAYE Freelancers
When will the weekly payroll transition start?
From 24th September, freelancers will move to weekly payment schedules with the first weekly payment on Friday 10th October 2025
Will there be any changes to the invoicing process?
Yes, you will need to accept your booking (if you have not done so already) in order for the payments to be made to you weekly. This also depends on how your ÃÛÑ¿´«Ã½ Contact has scheduled your payments.
Can I still submit claims monthly while on weekly payroll?
In direct response to freelancer feedback, we are moving PAYE freelancers from a monthly to a weekly payroll. This change offers several benefits including more frequent payments, payment closer to the time work is completed, greater flexibility in scheduling, enhanced support for socio-economic diversity across our freelancer population.
Weekly payroll operates with weekly thresholds for deductions such as tax, National Insurance, pension contributions, and student loans. This means that bookings must be accepted promptly and payment schedules based on a weekly basis. Accepting bookings on a monthly basis could result in incorrect calculations and deductions.
For further details about the transition and what it means for you, please visit Important Update: Payroll Changes for PAYE Freelancers
I have questions or issues with my payments
If you have questions about your payments, please first view your payslips and payment breakdown via the , where these are available.
How will my tax be calculated?
There are two types of tax codes:
- Cumulative: Adjusts tax based on total income since the tax year started.
- Week 1/Month 1 (e.g., 1257L W1/M1/X): Treats each pay as if it’s the first of the year, ignoring previous income.
With weekly pay:
- Standard tax-free allowance = £242 per week.
- If you’re on a Week 1/Month 1 code and receive multiple weeks’ pay at once, only one week’s allowance applies, potentially increasing your tax.
The rates and thresholds can be found on the .
Will my current tax code be retained when I'm moved over to weekly?
Yes, we'll retain the tax code and just proportion the allowance to a weekly payroll period instead of monthly.
How will the weekly Payroll frequency reflect on my P60?
What is a P60?
A P60 is an official document issued by your employer by 31st May each year. It provides a summary of:
- Your taxable earnings received during the previous tax year (6 April to 5 April),
- The income tax and National Insurance deducted
- Any student loan repayments or other deductions.
Important: The P60 reflects income actually paid during the tax year—not necessarily when the work was done.
Why is this important for my end-of-year financials?
Because of payment in arrears:
- Your P60 may not include income for work done at the very end of the tax year.
- That income will appear in the next year’s P60, even though it relates to earlier work.
Tip: Keep your own records of when work was performed vs. when payment was received. This helps with:
- Reconciling your income
- Understanding your tax position
- Preparing for self-assessment (if applicable)
What about Student Loan repayments?
Repayments are based on your weekly income and plan type:
| Plan Type | Weekly Threshold |
| Plan 1 | £501.25 |
| Plan 2 | £547.50 |
| Plan 4 | £629.71 |
| Postgraduate Loan | £403.84 |
- 9% of income over the threshold is deducted (6% for postgraduate loans).
- Like NI, repayments are not averaged over the year.
- If you overpay, you can request a refund from the Student Loan Company at year-end.
Please visit the about repaying your student loan.
What should I do to avoid overpaying?
- Claim weekly to avoid lump-sum payments.
- Check your tax code and contact HMRC if it seems incorrect.
- Monitor your payslips to ensure deductions are accurate.
Will this change affect my NEST pension?
The move to a weekly payroll will mean that your NEST pension contributions will now be calculated weekly instead of monthly. This change ensures your contributions more accurately reflect your actual earnings each week.
In the current monthly payroll, there are four claims and a monthly limit. Following the transition there will now be one claim and a weekly limit.
Based on weekly calculations this change may result in slightly higher pension contributions, which also means you could receive more in your pension pot. However, this depends on your individual earnings. It’s unlikely that you’ll contribute less.
Here's an example of someone earning £500 (gross) per week:
| Pay Period | Weekly/Monthly | Total | NEST | Annual Average
|
| 4 Week | Normal Gross Pay (monthly) | £2,000.00 | £59.20 | £65.87/month
|
| 5 Week | Normal Gross Pay (monthly) | £2,500.00 | £79.20 | |
| 1 Week | New Weekly Gross Pay | £500.00 | £15.20 | £66.05/month |
In this example, the change results in approximately £2.16 more per year in pension contributions.
Are there any changes for Modus Gross, Service Company, and Self-employed freelancers?
No, there are no changes for Modus Gross, Service Company, and Self-employed freelancers. They will continue to receive their payments 3-5 working days after claiming payments on the .