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Min wage job

2 replies

sheard · 09/08/2019 22:23

Hi all advice needed just started min wage job about 30 hours per week so about on cut off at 12500 per year will I need to tell tax man I will earn alot less so dont get taxed?

OP posts:
BackforGood · 09/08/2019 22:53

Usually when you start, they tend to take the tax first, and then you get it back in a lovely lump sum after the tax year ends.
Frustrating if you need the cash now, but understandable if you look at it objectively, as it is FAR easier for them to refund people who shouldn't have been taxed, than to try yo get people who weren't taxed but should have been, to then give them the money they owe, at the end of the year.

BarbaraofSeville · 11/08/2019 11:46

Is this your first job this tax year or are you moving from a higher paid job?

If it's your first job in the tax year, if your payroll people know this, they should automatically pay you without tax, although you may pay a bit of NI, as your wage for the tax year will be less than the personal allowance.

If you've moved from a higher paid job, you should have a P45 (or they might have done away with those, but there's an online system that has the same effect). In any case, your new employer will find out what you've earnt up to now and tax you accordingly so you'll be about right by the end of the year. There may be small ups and downs but it usually works itself out.

If you've earnt above that rate up to now, your total wage for the year will be based on about 4 months of high wage and 8 months of low wage, but you'll eventually have paid the right amount of tax at the end of the tax year.

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