> ## Documentation Index
> Fetch the complete documentation index at: https://docs.flowpayroll.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Pay run settings

> Create and configure pay schedules — frequency, pay date rules, and payment method — that drive every pay run.

A **pay schedule** (also called a pay run configuration) defines the rhythm of your payroll: how often you pay a group of people, when the pay day falls, and how payment files are generated. Every employee must be attached to a pay schedule before they can be paid.

Most organisations need just one. If you pay different groups on different cycles — for example, weekly workers and monthly salaried staff — create one schedule per cycle.

***

## Where pay schedules live

Go to **Settings**, then open the **Pay run** tab. You'll see a table listing all existing schedules. From here you can add a new one or edit an existing one.

Click **Add schedule** to create a new schedule. Click the edit icon on an existing row to change it.

***

## Creating or editing a pay schedule

<Steps>
  <Step title="Enter a name and description">
    Give the schedule a clear **Schedule Name** (e.g. `Monthly Payroll` or `Weekly Warehouse`). Add a **Description** to explain who it covers. Both fields are required.
  </Step>

  <Step title="Choose pay frequency">
    Select how often this group is paid:

    | Frequency   | Periods per year |
    | ----------- | ---------------- |
    | Weekly      | 52               |
    | Fortnightly | 26               |
    | Four Weekly | 13               |
    | Monthly     | 12               |
    | Quarterly   | 4                |
    | Bi-Annually | 2                |
    | Annual      | 1                |

    The frequency you choose limits which pay date rules are available in the next step.
  </Step>

  <Step title="Set the pay date rule">
    The **Pay Date Rule** controls how the pay day is calculated for each period. Available options depend on your frequency:

    * **Last day of period** — pay day is the last day of the pay period.
    * **Specific day of week** — pay on a chosen weekday (e.g. every Friday). For fortnightly or four-weekly schedules, you also choose which week in the period.
    * **Same date each period** — pay on a fixed day of the month (e.g. the 25th). For annual schedules, you also choose the tax month.
    * **Specific day of week nearest to date** — the chosen weekday closest to a target date.
    * **First working day after date** — the first working day after a specified day of the month.

    Enable **Pay on working day only** if the calculated pay day should shift to the nearest working day when it falls on a weekend or bank holiday.
  </Step>

  <Step title="Configure the pay reference period">
    The pay reference period defines which days of work each pay run covers. This must align with the pay frequency:

    * For **weekly, fortnightly, or four-weekly** schedules, choose the **Day of Week** on which the period ends, and the **Week Start Offset** (how many days before or after that weekday the period actually starts).
    * For **monthly and longer** schedules, choose the **Day of Month** on which the period ends.

    Flow Payroll shows a preview table of upcoming pay dates so you can confirm the configuration looks right before saving.
  </Step>

  <Step title="Handle employees with no pay">
    Two toggles control what happens when an employee has no gross pay for a period — for example, someone on unpaid leave:

    * **Make a payslip for them** — when on, a £0 payslip is produced for the record. When off (default), they are skipped entirely.
    * **Report them to HMRC on the FPS** — when on (default), all payslips including £0 ones appear on the Full Payment Submission. When off, only employees who were actually paid are reported. Starters, leavers, post-leaving payments, and payroll-ID changes are always reported regardless of this setting.
  </Step>

  <Step title="Choose a payment method">
    Select how payments are made:

    * **No direct payment** — Flow Payroll does not generate a payment file. You handle payments externally.
    * **BACS** — Flow Payroll generates a BACS payment file. Provide your company bank account details (sort code, account number, account name, and optionally a service user number) and set a payment reference.

    The **Payment Reference** supports dynamic tokens such as `{payDate}`, `{period}`, and `{year}` so each file gets a unique reference automatically. If your reference includes a date token, choose a **Date Format** (e.g. `Day/Month/Year`).
  </Step>

  <Step title="Save">
    Click **Save** at the bottom of the form. You are returned to the pay run settings list.
  </Step>
</Steps>

***

## Attaching employees to a pay schedule

A pay schedule on its own does nothing until employees are linked to it. When you add or edit an employee, you select which pay schedule they belong to. All employees on a schedule are included in each pay run you create for that schedule.

<Card title="Manage your people" icon="users" href="/guides/people/managing-people">
  Add employees and attach them to a pay schedule.
</Card>

***

## Editing an existing schedule

You can edit any field on an existing schedule at any time. Changes take effect from the next pay run. If you change the pay frequency or pay date rule, review the pay date preview table carefully to ensure future periods align with your expectations.

<Warning>
  Changing the pay frequency on a schedule that already has employees attached will affect how those employees are paid going forward. Consider creating a new schedule and moving employees across instead, if you need to preserve the history of the old cycle.
</Warning>

***

## Where to go next

<CardGroup cols={2}>
  <Card title="Run a pay run" icon="money-check-dollar" href="/guides/pay-runs/running-a-pay-run">
    Start a pay run for a schedule and period.
  </Card>

  <Card title="Organisation setup" icon="building" href="/guides/setup/organisation-setup">
    Confirm your company details and HMRC settings are complete.
  </Card>

  <Card title="Pension defaults" icon="piggy-bank" href="/guides/setup/pension-defaults">
    Set organisation-level pension and auto-enrolment defaults.
  </Card>

  <Card title="Managing people" icon="users" href="/guides/people/managing-people">
    Attach employees to a pay schedule.
  </Card>
</CardGroup>