How to add a new employee to payroll

This article explains how to add a new employee to your payroll in FreeAgent.

Please note that FreeAgent's payroll functionality won't be available if you have an unincorporated landlord account or if you're preparing your accounts using cash basis accounting.

You'll need full (level 8) access to FreeAgent in order to add a new employee to your payroll and create a payroll profile for them.

Before you start

Before you can add a new employee to your payroll, you will need to add them as a user to your FreeAgent account.

Please note that each employee should have their own payroll profile and a profile should never be updated and used for another employee.

Adding a new employee to payroll

Navigate to the ‘My Money’ tab at the top of the screen and select ‘Payroll’ from the drop-down menu.

Screenshot showing the 'My Money' menu with 'Payroll' highlighted

Select ‘Add an Employee’ from the right-hand side of the ‘Employees’ section and select the employee’s name from the drop-down menu.


Next, you’ll be prompted to create a payroll profile for the employee. Payroll profiles contain information that’s required to file payroll online with HMRC.

Some information for a payroll profile will be automatically filled in by FreeAgent based on the information that you provided in the employee's user profile, but you will need to complete the remaining sections to create a payroll profile for the employee. For more information about creating a payroll profile, please see this article.

Once you have entered all of the relevant information for the employee, select ‘Create Payroll Profile’ at the bottom of the screen to complete the process.

After creating the payroll profile, the new employee will be included on your next RTI submission when you prepare and file your payroll to HMRC.

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