Can I Manage My Own Payroll?

If you’re a small business owner or sole trader, you might wonder if managing your own payroll is realistic. After all, software is getting smarter, HMRC has clear guidelines, and outsourcing can feel like a big step if you’re just starting out. But is it really as simple as it sounds?

Yes, you can manage your own payroll…

Many business owners do. With access to RTI-compliant software, some time set aside each pay period, and a good understanding of tax codes, deadlines, and pension rules, it’s possible to run payroll in-house.

You’ll need to:

  • Register as an employer with HMRC
  • Choose payroll software
  • Calculate pay, tax, and National Insurance correctly
  • Report to HMRC on or before payday
  • Set up and manage pension contributions
  • Issue payslips and P60s
  • Stay on top of changing legislation

For those with one or two employees and relatively straightforward arrangements, this can work well—provided you’re confident and have the time to stay on top of it all.

…But is it easy?

That’s where things get trickier.

Payroll is detail-heavy and time-sensitive. Even small mistakes—like using the wrong tax code or missing a deadline—can lead to penalties, employee complaints, or compliance headaches. If your team grows, you add freelancers, or someone takes parental leave or sick pay, it adds layers of complexity.

It’s not just about pressing a button each month—it’s about understanding the rules that shape every figure on a payslip.

And when HMRC changes guidance (again), or a staff member questions their deductions, will you have time to research, fix, and respond quickly?

So when does it make sense to outsource?

If you:

  • Spend too much time worrying about payroll
  • Are unsure about compliance or auto-enrolment rules
  • Want peace of mind that it’s being done correctly
  • Or simply prefer to focus on running your business…

Then outsourcing can be a weight off your shoulders.

At Be Payroll, we support business owners who started off doing it themselves but decided their time was better spent growing the business, not learning payroll law. Our service is flexible, friendly, and completely tailored—whether you need help just with PAYE submissions or want a fully managed service with pension admin and CIS support built in.

Final thought:

Managing payroll isn’t impossible—but it is a responsibility. If you enjoy systems, are detail-oriented, and have the time to stay up to date with payroll changes, then go for it. But if you’d rather hand it over to someone who lives and breathes this stuff (so you don’t have to), we’re here to help.

No pressure. Just support when you need it.