Create a statutory profile

What this achieves

A statutory profile holds the tax, social-insurance, and health-insurance rules for one jurisdiction, dated from the day they take effect. Pay runs read the profile to work out what must be deducted by law, rather than you entering those figures yourself.

Required role: Administrator.

Before you start

Have the current rates and thresholds to hand from an authoritative source, and know the date they take effect from. You will be asked to record where the figures came from.

Steps

Go to Payroll → Statutory Profiles.
Select Add Profile.
Choose the Jurisdiction and enter a Name.
Choose the Calculation Method.
Set the Effective Date.
Select Prefill to load the canonical reference values for the regime, where they are available.
Complete the sections the calculation method requires, using Add Bracket, Add Contribution, Add Tier, or Add Tax Layer as appropriate.
Record the source of your figures.
Select Save.

The calculation method decides the rest of the form

The method is not a label. Each method carries one jurisdiction’s statutory logic, and choosing it determines which sections the form then asks you to complete. Choose the method matching the jurisdiction the entity pays in; the methods offered are the ones your workspace has.

Option	Description
Income tax	Whether the jurisdiction charges income tax at all, whether it is banded, and whether it is calculated on an annualized basis.
Contributions	Which social, health, or insurance contributions apply, and how each is based, thresholded, and capped.
Regime-specific sections	Sections that exist only for the regimes that need them, such as end-of-service gratuity or a layered federal, state, and local tax stack.

Example: HC Corp UK Ltd is registered in the United Kingdom, so Priya Raman chooses the United Kingdom method and gets the income-tax and contributions sections rather than the FICA or end-of-service sections.

Brackets are annual; contributions are monthly

Getting this the wrong way round produces figures that look plausible and are wrong, so it is worth stating on its own.

Income-tax band boundaries are entered as annual amounts. Contributions carry their own monthly base, with a floor and a ceiling, and an optional threshold so the contribution is charged only on earnings above it.

Example: for HC Corp UK Ltd, PAYE bands are entered as annual thresholds, while National Insurance is entered as a contribution with monthly thresholds, because that is how each is defined in the UK.

Prefill is a starting point, not an authority

Where reference values exist for a regime, Prefill loads them so you are checking figures rather than typing them from scratch. Reference values are not a substitute for your own verification, and the profile asks you to cite your source for exactly that reason.

Example: a citation such as the HMRC guidance the rates came from, with the date you reviewed it, is what lets someone confirm the figures a year later.

Effective dating protects what you have already paid

Profiles are effective-dated, and a pay run applies the version in force for its pay date. A new tax year is a new profile with a new effective date, not an edit to the existing one.

Example: HC Corp UK Ltd creates a profile effective 6 April 2026 for the 2026/27 tax year. The March 2026 payslips keep using the earlier version, so nothing already paid is recalculated.

What happens next

The profile applies to employees through their legal entity, so a run against a pay group picks up the profile matching that group’s entity and pay date. Check that a profile exists covering the period before your first run of a new tax year, because a run has no statutory figures to apply without one.