Get ready for the new tax year

Summary

Set up Sage 50 Payroll Ireland software to process payroll in the 2026 tax year.

Description

 TIP: This is the final step. Go to the Payroll Year End hub to see them all. 

Once you complete your payroll processing in the 2025 tax year, you need to create the 2026 tax year for each of your payrolls.

Resolution

Create and open the 2026 tax year

  1. Open Sage Payroll 2025 and log in to a payroll as normal.
  2. Confirm the payroll status is at EOP for the final period of the year.
  3. Go to Year End, then Tax.
  4. Select Set up 2026 Tax Year, then Continue.
  5. Select Close, then close Sage Payroll 2025.
  6. From the Windows desktop, open Sage Payroll 2026, then log in to your payroll.
    NOTE: Before you start processing in the new tax year, check your version is 28.0 or above.
  7. Repeat the above steps for all payrolls you want to use in 2026.

Set up the new tax year calendar

  1. Go to Company/Payroll, then select Calendar.
    If your financial year starts on 1 January, a prompt appears to clear down financial year balances.
  2. Select Continue, then OK.
  3. Go to the New Calendar tab.
  4. In the first pay period dates, enter your first pay date of the new tax year.
    This date must fall in the first tax period and determines all future pay dates for the year. 
    ▼ View the first pay date range
    Payroll Frequency First Pay Date Range
    Weekly January 1 - January 7
    Fortnightly January 1 - January 14
    Monthly January 1 - January 31
    Bi-monthly January 1 - January 16
    4-Weekly January 1 - January 28
    Quarterly January 1 - March 31
    The Pay Date field is the date that you pay your employees' wages in the pay period. You can also select your first bank, cheque, and giro dates.
  5. If processing monthly, bi-monthly, or quarterly payroll, choose Valid Pay Days.
  6. Select Update to return to the Calendar Details tab.
  7. Check and, if required, change any pay dates in your new calendar.
  8. Check that the details are correct in the Financial Year Details section.
  9. Select Save.

Set up period one

  1. Go to Processing, then select Set Period.
  2. In the New period to process box, enter 1.
  3. Confirm the dates and information are correct for the first period of 2025. If not, edit as required.
  4. When you finish, select OK.
    NOTE: If your 2025 holiday year ended on 31/12/2025, you can roll forward your holiday and absence years.
  5. Edit the settings if required, then select Continue Set Period.

The RPN for period one includes any changes to employees' tax credits, cut-off points, and USC thresholds.

Validate your payroll data in 2025

  1. Go to Reports, then Validate Payroll Data.
  2. If any errors appear on this report, resolve them now.

Construction Workers' Pension Scheme (CWPS)

If you're part of the CWPS, clear down the CWPS history and balance at year end. You can also set up the CWPS calendar for the new tax year.

 NOTE: The 2026 CWPS year starts on 30 December 2025.

Complete your Construction Workers' Pension Scheme (CWPS) year end tasks.

Enable Central Statistics Office (CSO) reporting

If the CSO selects your business for surveying, set up CSO reporting, if you haven't already.

Assign Additional Superannuation Contribution (ASC) settings

Additional Superannuation Contribution (ASC) is only relevant to public sector employees.

If any employees are liable for ASC deductions in 2026, assign Additional Superannuation Contribution (ASC) settings within their records.

What to do next

Once you complete the sections above in each of your payrolls, you're ready to process your payroll in the new tax year.

Solution Properties

Solution ID
200427112422629
Last Modified Date
Wed Dec 10 12:28:14 UTC 2025
Attributes
Product Details
Modules: Report Writer
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