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Second job tax code?
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# 1
dodgie
Old 19-08-2004, 12:50 AM
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Default Second job tax code?

Hi,

I currently work full time for 20,740 gross a year. I've recently bought a house and so to help oil the financial cogs I've started reading this site (thanks!) and started a Saturday job at a small IT company.

However I am a little confused as to what my tax code should be at the new company. My tax code is 474L at my full time job but what should I expect at my new place? Should it be the same? Surely my allowances have been taken into account at my full time job so all the income from my second job should be taxed at 22%. (My total income doesn't take me into the upper bracket so that should make it simpler).

I'm asking because they have never taken anyone before who already has a job and so they are asking me if I know what my tax code should be.

I just want to make sure everything is above board and I don't get stuck with a big tax bill next year.

Cheers

Rich
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# 2
MJSW
Old 19-08-2004, 1:42 AM
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Default Re: Second job tax code?

The company should have given you a P46 form to complete. This is used where a new employee is taken on who doesn't have a P45 (which you won't have because you already have another job). You then need to fill in the top part of the form, by ticking boxes A,B or C as appropriate (although from what you have said it sounds as if none of these will apply in your case). The employer should then complete the bottom section, and send it to the Inland Revenue.

Here are a couple of links:

Form P46
Employers Helpbook E13 (see section 4 for how to fill in the P46).

From what you have said, it appears you will get a BR tax code for your second job, and so 22% would be deducted from your total pay (plus National Insurance if your earnings are high enough).
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# 3
bridiej
Old 15-09-2004, 6:30 PM
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Default Re: Second job tax code?

Yes, whenever I've had a second job I've had a BR tax code, which means they take loads off you but at the end of the year you should get a rebate.
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# 4
paulb11088
Old 23-03-2008, 6:48 PM
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Question tax in 2nd employment

hi guys. i hope you can help. i have a part time job of just 15 hours a week. i have just got a full time job of 42.5 hours a week. i would like to do both jobs but am unsure about the tax situation. i have been told that i will pay 22% tax on my second job. is this true? also, if it is true, which job will be classed as my 2nd job? the latest job i started or the job with least hours? thanks in advance if you can help.

paul
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# 5
CLAPTON
Old 23-03-2008, 7:45 PM
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if you have two jobs simultaneously then two things can happen


if one job is clearly the major job and you earn over 5225 plus 2230 then its best if this job has the normal tax code i.e. 5225L so you get all your allownaces on this job.
and the second job has a code of BR which means you pay 22% tax on all your earning in this job.
The above assumes you are not a higher rate tax payer.

Or
if the jobs have a similar value and are below 5225 plus 2230 then its possibly better to get the tax allowance split betwen the jobs although this can lead to complications.

so in dodgies case the second saturday job should be taxed at BR (I assume that your 474L code means you have some benefits in kind)

paul ... yes you should be taxed on the 15 hour job at BR i.e. 22%.. dropping to 20% after 6th april.. the job with the least hours is usually classified as the BR job.
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# 6
Pam17
Old 24-03-2008, 9:43 AM
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Quote:
Originally Posted by bridiej View Post
Yes, whenever I've had a second job I've had a BR tax code, which means they take loads off you but at the end of the year you should get a rebate.

You would only be eligible for a rebate if you haven't used up all your personal allowance (£5225) and 10% band (£2230) at your main job. BTW these are the 07/08 figures for 08/09 your personal allowance is £5435 and there is no 10% band.
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# 7
make life easier
Old 28-03-2008, 6:16 PM
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What about national insurance? I am thinking of taking a job paid via direct payments, so I imagine I will have to pay my own tax and insurance.

This new job will only be about 5 hrs per week as my main job is 22hrs per week and my employers take my contributions before I get paid.:confused:
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# 8
Pam17
Old 29-03-2008, 10:27 AM
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Quote:
Originally Posted by make life easier View Post
What about national insurance? I am thinking of taking a job paid via direct payments, so I imagine I will have to pay my own tax and insurance.

This new job will only be about 5 hrs per week as my main job is 22hrs per week and my employers take my contributions before I get paid.:confused:
If you are paid gross then you would be classed as self employed in that employment and would have to register as such with HMRC. You would then be required to complete tax returns each year unless your self employed profit could be taxed via the tax code applied to your main job.
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# 9
newcastlebelle
Old 08-04-2008, 3:38 PM
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phoned the NI office this morning as my daughter is starting a 2nd job and was told you can have as many jobs as you like !!!!}, but only pay NI on each job if you earn over 105 per week...........technically then, you can have 5 jobs earning 104 each a week and not pay NI, although you would if one job brought you over 105!
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# 10
brock-cruse
Old 27-04-2008, 6:19 PM
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Hi all
Need clarification for me too... work part time 17hrs/wk and currently have tax code 549L whatever that means! looking at getting another part time job of 15hrs per week.
So if i got this extra job would have to fill out P46 as would not be able to give them P45?
My first job I do not earn enough to pay tax/NI (just got P60 which said that i earned 5279 last year.) My second job would pay approximately the same as the first so can anyone tell me what tax I would be paying. Think the wage over a year would be about 3900.
Plus I have 2 children that at the mo are not in childcare. I currently claim childs tax credit so how would this change on getting second job? Plus what is working tax credit? My second job would be at a pre-school that my youngest would have to attend and I would have to pay for also (works out at 1500 per year). Im just not sure it would be worth my while!!!
My hubby is a teacher so has a decent wage(about 37k).
If anyone can offer info or advice would be appreciated.
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# 11
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Old 02-05-2008, 6:49 AM
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Hello everyone,

I have to join in this thread ans ask a question.

I'm currently on £30,000 in the Royal Navy. I would also like to start doing a taxi Job on the weekends. How will this effect my earnings?

Hope its ok to ask.
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# 12
jem16
Old 02-05-2008, 7:51 AM
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Quote:
Originally Posted by NewbieMoneySaver** View Post
I'm currently on 30,000 in the Royal Navy. I would also like to start doing a taxi Job on the weekends. How will this effect my earnings?
Sorry clicked thanks instead of quote.

Your earning will not be affected. You will pay BR - basic rate at 20% - on all your taxi earnings.
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# 13
NewbieMoneySaver**
Old 02-05-2008, 8:57 AM
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Cheer Jem.

So on say £100-£200/week I would get taxed £20-£40/week.

Thats it. Thanks.
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# 14
tigtag02
Old 02-05-2008, 9:03 PM
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Quote:
Originally Posted by NewbieMoneySaver** View Post
Cheer Jem.

So on say 100-200/week I would get taxed 20-40/week.

Thats it. Thanks.
If you made 200 a week at your 2nd job then you would be into the 40% tax bracket.

The threshold is 34,600 (+ your personal allownce)
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# 15
bronco
Old 02-05-2008, 10:54 PM
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Quote:
Originally Posted by NewbieMoneySaver** View Post
Hello everyone,

I have to join in this thread ans ask a question.

I'm currently on 30,000 in the Royal Navy. I would also like to start doing a taxi Job on the weekends. How will this effect my earnings?

Hope its ok to ask.
being in the navy you have to ask if you can work off base
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# 16
NewbieMoneySaver**
Old 03-05-2008, 6:43 AM
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Quote:
Originally Posted by bronco View Post
being in the navy you have to ask if you can work off base
Yes I know that and I'm going to ask them when I get back to work next week.

What happens with my tax when I'm in the next tax bracket?

Cheers
Current Debt 38,000


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# 17
jem16
Old 03-05-2008, 9:47 AM
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Quote:
Originally Posted by NewbieMoneySaver** View Post
What happens with my tax when I'm in the next tax bracket?
The part that it is into the 40% tax bracket would be taxed at 40%. You may need to fill out a tax return to make sure you are paying the correct tax. How will you be paid for your taxi work - under PAYE or will you be self employed?
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# 18
NewbieMoneySaver**
Old 10-05-2008, 10:45 AM
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Thanks Jem,

I will be self employed. When you say 40% is the 40% from £40.000 and above
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# 19
jem16
Old 10-05-2008, 2:12 PM
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Quote:
Originally Posted by NewbieMoneySaver** View Post
Thanks Jem,

I will be self employed. When you say 40% is the 40% from 40.000 and above
If you have a normal tax code of 543L then it's inocme above 41,435.
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# 20
NewbieMoneySaver**
Old 10-05-2008, 11:22 PM
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Cheers jem,

Thats my code. So thats good news.

Thanks again
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