What Is a P45? Everything UK Jobseekers Need to Know

Whether you’re switching jobs, taking a career break, or heading into self-employment, understanding your P45 is an essential part of leaving a job in the UK. It’s a document you’ll need when moving between employers – and it affects your tax, benefits, and payroll.

Below is a breakdown of what a P45 is, why it matters, and how to manage it when changing jobs.

Frequently Asked Questions

What is a P45?

A P45 is a document issued by your employer when you leave a job. It shows how much tax you’ve paid on your salary so far in the tax year and includes important information that your new employer (or HMRC) will need.

Your P45 includes:

• Your tax code and National Insurance number
• Your total pay and tax paid to date in the current tax year
• Your leaving date
• Your employer’s PAYE reference number

Why is a P45 important?

It ensures you don’t overpay (or underpay) tax when you start your next role. Without a P45, your new employer might place you on an emergency tax code until HMRC updates your records, which could reduce your take-home pay temporarily.

When should I receive my P45?

You should receive your P45 on or shortly after your final working day. Employers are legally obliged to provide it, and it may be given to you physically or digitally.

If you haven’t received your P45 within a week or two of leaving, follow up with your HR or payroll department.

What should I do with my P45?

You should give Parts 2 and 3 of your P45 to your new employer when you start your new role. They’ll use it to set you up on the correct tax code and ensure you’re taxed correctly.

Part 1 is sent to HMRC by your old employer, and Part 1A is for your records.

What if I lose my P45?

Your employer cannot issue a second copy of your P45. However, they can provide a “statement of earnings,” which serves as an alternative and can be accepted by HMRC or your new employer. If needed, HMRC can also help set your tax code correctly using your recent pay history.

What if I don’t have a new job to go to?

If you’re claiming benefits, Jobcentre Plus will need your P45. If you’re not moving into work or claiming benefits immediately, keep it in a safe place, you may need it in future for tax or financial records.

Does a P45 affect my pension or student loan?

It can. If you’re repaying a student loan or making pension contributions through PAYE, your tax deductions shown on your P45 will reflect this. Your new employer will use that info to continue the correct deductions.

Is a P60 the same as a P45?

No. A P45 is issued when you leave a job during the tax year, while a P60 is provided at the end of the tax year (if you’re still employed) and shows your total earnings and tax paid in that year.