To think almost £2000 a month in deductions is outrageous.

[Nataby]

First, I am grateful to have a job which I love and enjoy doing during a time when lots of people are loosing their jobs.

I am currently on maternity leave and my kindly employer is paying me 100 percent of my salary for 4 months. I am going back part time at 3 months as I don't want to get used to being at home and resent needing to go back. I gross with this employer 3000 per month, prior to commencing maternity leave, I did some overtime and earned 2450, which was due to be paid this month. I got my payslip today, and note that after deductions, including 130 childcare vouchers, I netted 3300. Now this is a welcome and much needed amount of money, I am just having difficulty with the amount of money taken out of my pay check. AIBU?

I fail to see how someone is "lucky" to have a good salary???

Presuming she isn't a premiership footballer or a sleb, then she has obviously worked hard to get qualifications/job/promotions. "luck" has very little to do with it.

actually she is lucky to have a good salery, working hard even with qualifications dousnt automatically equal good pay. luck, timing etc have alot to do with it!

If you're getting childcare vouchers, don't they come out of your gross salary? ie you're better off if you get childcare vouchers deducted from salary, as otherwise you'd be paying for childcare out of your net income.

grumpy pants, if you get over time payments do you just pay your normal tax rate on them aswell? or are they just blended into your monthly pay?

I don't begrudge paying taxes and NI. Like another poster said, it would be nicer if they just showed me the net income. I usually net £2000 after everything is taken out. I delayed this payment from February as our bonuses were paid then. I am grateful but feeling miffed that it is a lot to take. I pay 10 percent into a pension

Is this a 'look how much I earn' post?

I'm not sure if you normally fall into the 40% tax bracket but as it's the first month of the new financial year your salary this month definitely is in that bracket. Depending on what you earn for the rest of the year you may be entitled to a tax refund.

I am new here so what does PITA mean

Pain In The Arse.

PITA = Pain in the arse.

How could it be Northerngobshite, We don't know each other. I would ask siblings, but that would be telling them how much I earn.

because it comes across as bragging and generally a bit pathetic. You're a grown woman so I presume you've paid tx before and understand that when you earn that much you get a lot of deductions....??

If it's tax that you have been deducted, you will get some of it back next time when you aren't earning that extra.

IR works out your tax for a month based on earnings that month, as if you are earning that much every month.
The next month, when you don't, their system goes "oh, right, well, they've now paid a bit more than they should, we'll give them back the extra"

It sure is that (PITA). I just thought I wud get 1500 from the 2450, I did not. I am just very disappointed and feeling outraged, especially as I loose cb next year. It does feel like it's not not worth doing extra work.

Speaking as someone who works damn hard but earns about one sixth of that YAB a bit U, but yes, it's painful.

don't do the extra work then.
btw high earners pay higher tax in order to contribute to society and help those less fortunate.

Thanks Nickel, I will look forward to May. I thought I had to wait a year for it.

Northern. I said at the start, this was not my usual monthly earnings. I live in the southeast and I don't think that my usual gross is very high. You are entitled to your opinion though.

I don't feel I have lots to brag about

Yanbu. The amount that is clawed back by the govt is horrific. It's also inflationary. If you earn 100k a year then your monthly net starts with a 4!

Lots of people on high salaries are moving where they can decide how to spend their own money.

I would advise anyone who has the option, to go self-employed, yes it's a risk but it reduces the amount of tax you pay by quite scary amounts. The paper work put me off for years but it's a lot less onerous than I feared. No brainer frankly. Obviously only do this once you feel your family is complete :)

You got £1300 but you hoped for £1500. And now you think it's not worth doing the extra work if you're not going to get that £200.

Basically, anything you earn over your normal monthly wage is always going to seem to be taxed particularly heavily because you've already used up your personal allowance. This wouldn't be so obvious if you always earned £5500 or whatever per month, but when it's a one-off extra payment it looks as if it's being unfairly taxed. Similar to second jobs which always feel like as much effort for less gain than the first one (that I have experience of - it sucks I agree), but of course it is fair, and as pp have commented, you'll probably get some of that tax back.

Have you checked your coding notice is correct?
It's very important to do so as it may have assumptions on it (like you will earn interest or dividends at the same rate as last year, or have a company car or medical insurance payments were the same as in previous year).
Some company car BIK are going up massively this year as the upper cap has been removed and the rate charged on diesel is going up.

Get your coding notice out and check it thoroughly. And check your payslip to see that the PAYE code they use is the one on your coding notice.

gross £3000 per month = take home about £2000

• overtime this month = about £2400 gross = 1300 take home.

Wow you earned £1300 just through overtime! Many people dont earn that in full time hours. Well done you.

But how can you earn so much without understanding basic maths? YABU

Taxes pay for everything thats good in this country - education, health, roads and infrastructure, peace, justice, etc. YABU.

Taxes also support those who get paid so little that its not enough to live on, so others can have cheap stuff, and others make huge profits out of them. This is U too.

Degrees, issues, much?

OP, the reason why you have "lost" a higher proportion of your overtime income to tax is because in taxing your "normal" income, your personal allowance will have already been used up. So any overtime you get will just be taxed at as the top slice of income. As you're close to the 40% tax rate some of your overtime was taxed at basic rate of income tax (22%) but the majority of it was taxed at 40%. You also have to factor in NI, which is now 13.8%.

For what it's worth, I don't think it's being unreasonable to not be all over how our complex income tax system works. That's why lots of people use accountants to their tax returns!

Christ if i was getting that amount per month i wouldnt be complaining about what got took off me. We dont earn that in a month. In fact 3300 if half of what we have earned this last year! :(