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Tax allowances with a second job, please help!

(15 Posts)
PlumFairy2014 Sun 30-Oct-16 17:50:52

I have two jobs, both low hours so it is under 11k, does this mean I won't be taxed?
Someone told me an additional job will be taxed regardless, that can't be right can it?!?

LIZS Sun 30-Oct-16 17:53:24

You probably will be taxed but refunded after year end in April. You may be able to decide who gets allocated your tax allowance, ideally it would be the higher income role.

orangebird69 Sun 30-Oct-16 17:55:28

No, that's not right. If you have any allowance left over from your main job, it's applied to your second job - taken from the gov.uk website here

EwanWhosearmy Sun 30-Oct-16 17:56:14

You can ask hmrc to split your personal allowance between both jobs. You'll need to tell them how much to go to each, and if you go over that you will have tax deducted.

IvyWall Sun 30-Oct-16 17:56:26

Hercules can split your tax allowance over the two jobs. Ring them

IvyWall Sun 30-Oct-16 17:57:03

Hercules lol. HMRC

InTheDessert Sun 30-Oct-16 17:57:27

There is info about 1/3 if the way down here saying you can split your tax free allowance between the 2 jobs? Might be worth it? Or if you can manage without the extra money, it would be a nice windfall at the end of the year money advice service

itlypocerka Sun 30-Oct-16 17:59:46

You can only give one employer your normal "tax code" that allows them to give you some of your salary tax free.

If you don't make the proper arrangements (which are easy to make) your first employer can deduct zero tax but your second employer will have to deduct 20%

Depending on which employments have the most stable hours, you can either divide the tax free amount between the two employments equally and pay a bit of tax via each, or you can have one employment entirely tax free but arrange for the other employer to use a lower tax code so that you pay the tax on whatever you earn that is over 11k across the 2 jobs.

19lottie82 Sun 30-Oct-16 18:03:36

Your first job will be taxed as normal (first 10k tax free). Your second will be taxed at 20% (as you won't be hitting the higher tax rate). If you earn less than 10k in your first job, you can claim any excess tax you've paid back at he end of the financial year.

PlumsGalore Sun 30-Oct-16 18:06:47

Rubbish. Ring the tax office up, give the details of your two jobs and they split your tax code between the two.

This is fact, based on DS having two part time jobs as a student. When he got a full time job he called again and moved the entire code to the new ft employer.

PlumsGalore Sun 30-Oct-16 18:08:37

Oh and it's 11k now not 10k

unlucky83 Sun 30-Oct-16 18:21:12

All PAYE is 'real time' now -it is reported to HMRC as soon as you are paid - Therefore your second (new) employer will charge your basic rate for the first pay period (as you will state it isn't your only job etc on the starter form (formerly P46) )- but the HMRC should adjust your tax code very quickly and split your allowance between the jobs (they will change your tax code to something like 500T).
I don't think you need to do anything - I know people I pay it has just happened automatically - new tax code issued. Paid monthly I usually have the new tax code and can refund their tax paid on their first pay by their second payment.
I'm not good on NI but depending on how much you earn/pension considerations it might be worth looking at your NI though. Basically if you earn £600 in both jobs you won't pay NI but you would if you earned £1200. So you will pay less NI BUT It might be worth while looking to pay NI to contribute towards your pension....

nannynick Sun 30-Oct-16 18:35:43

National Insurance is calculated on a per-job basis. So as has already been mentioned, income tax is your issue and HMRC should automatically adjust your tax code in each job. If this has not happened after two months, then contact HMRC employee helpline and let them know you have two employments, the employers PAYE reference numbers if possible, the estimated annual salary in each job. Ask for Tax Free Allowance to be split between the jobs, based on the annual salaries and ask for the tax code to be cumulative. Cumulative means that it takes account of taxes paid so far in the tax year. The alternative is week1/month1 which just looks at earnings each week/month, not what has been earned so far.
Any overpayment of tax will be returned via PAYE or as your earnings will be below your personal tax allowance, you will get a refund cheque after the end of the tax year.

PlumFairy2014 Sun 30-Oct-16 18:47:22

Thanks so much everyone! I didn't think it was right, but really appreciate the reassurance. Otherwise my second job wouldn't be worth doing....

PlumFairy2014 Mon 31-Oct-16 20:50:17

Called today and changed it over.
Thanks everyone!

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