Definition of pay as you earn in English:

pay as you earn

(also PAYE)


mass noun
  • (in the UK and South Africa) a system by which an employer deducts income tax from an employee's wages before paying them to the employee and sends the deduction to the government.

    ‘a pay-as-you-earn scheme’
    • ‘The end of September is also a key date if you are a pay-as-you-earn taxpayer who owes the Revenue less than £2,000.’
    • ‘Since April 6 last, pay as you earn income tax has been deducted from employees under the new tax credit system.’
    • ‘In this way, they will help to boost Government revenue through taxes such as pay as you earn arising from increased number of people getting jobs.’
    • ‘It's all a bit weird now, though, as I'm not in the pay-as-you-earn system for the first time in years.’
    • ‘The extension is for people with simple tax affairs, who do not have any more than £2,000 tax to pay under self assessment, and are normally taxed through the pay as you earn code.’


pay as you earn