Methods of calculating tax

Week 1 basis

Note

The information on this page refers to your current obligations. For your obligations before 1 January 2019, please see the Employers Guide to PAYE.

The week 1 basis is also known as 'non-cumulative basis' or month 1 basis for monthly employees.

You tax each pay day on its own, separate from previous weeks. Pay and tax credits are not accumulated from the previous 1 January.

When to use week 1

You use a week 1 basis to calculate an employee's tax if their RPN instructs you to use it.

Next: Emergency basis