Miracle happened, what now?

MoneyWaster2007

hi, i was sacked from my previous job for gross misconduct (theft by employee) in january. And incredibly have found a new job (temp work), which i started last monday. If i send the agency my P45, will the agency then show on my new p45 as my last employer if i leave the agency? because if they do i wont have to mention anything about being sacked as it wont show on my p45, if i were to apply for a different job...

...i have an overdraft of £700 at 19.5% EAR and a loan (outstanding balance: £3471) at 11.5% APR. I reckon it would be a wise move to use my surplus income to pay the overdraft off first, because if the temp work goes dry, i will then have a little safety net to hopefully tie me through to a new job. whereas if i use the surplus income to overpay on the loan, the money cannot be recovered, should i need it in the eventuality of becoming unemployed again...is this the right thing to do?

also, with this temp work being in its very nature 'temporary,' would i be doing the right thing by spending absolutely nothing on myself until the overdraft is cleared and i get my little safety cushion? the reason i ask is because i like to have the odd night out on the town, but given my situation maybe it would be better to hold on all spending for now? any suggestions much appreciated and considered

Merlinexcalibur

hi, i was sacked from my previous job for gross misconduct (theft by employee) in january.

Is that something you really want everyone to know? Just to be wise.

Oh, well, it's up to you what you put on a public forum. For some finding a job isn't a laugh a minute you know. So, maybe you should be grateful you have found a new one; but your flippancy about being sacked, seems to indicate you take such things 'lightly'. Mind, some fall on their feet no matter what it seems.

whatatwit

Hi MW, well done on finding something.

If you decide not to give the agency your P45, then you will need to complete a P46. You will need to sign the box B, this indicates that you have had either a previous job, or had jobseekers between 6th April and starting the job.
The main downside is that you might end up paying too much tax until things get sorted out. But, you will be able to claim it back after 5th April

If you finish with the agency, then you will get a P45 showing their details....but any new employer will no doubt ask about previous jobs.

On the money side of things, personally, I would try and keep things as tight as possible as you don't know how long the agency will be for. I can also agree with your thinking on the overdraft being available whereas once a chunk is paid off the loan, then you won't be able to get that back.

MoneyWaster2007

thankyou whatatwit, thats very helpful and confirms what i thought it was best to do. are there any downsides to sending an agency my p45? as opposed to completing a p46?

whatatwit

Hi MW, usually, tax wise, things are more straightforward if a P45 is handed in.
I will just check what the allowed gap between leaving and start dates is.....back in bit.....



Back If the gap is less than 7 weeks, then it appears that your tax code can stay as it was on a cumulative basis and you would possibly pay less tax/get a tax refund as you would have unused allowances from you finishing your old job to starting the new one.

If the gap is more than 7 weeks, then you would be put on an emergency code, where you would get the basic tax allowance each week/month, but not the unused ones.

Soooooo, tax wise, it depends upon how many weeks between jobs (from what I can gather from the HMRC site)

MoneyWaster2007

thankyou very much for taking the time to look that up for me, much appreciated:T

as it happens, i was out of work for 7 weeks and 2 days, so its borderline. anyway, i think i'll send off my p45, so that means i will be put onto an emergency tax code? but it will be paid back to me either by a rebate or by paying less tax/ month on my earnings, is that right?

whatatwit

Yep, your basic code will stay the same if you send in either a P45 or a P46.
The emergency bit is usually signified by an X after the code number. All it means is you are getting the share of your tax free allowance for that week only.

As we are getting close to the end of the tax year, then if you go onto emergency basis, then it will be paid back by a tax office refund rather than through your wages.

You might also get a form to complete asking what you have been doing in the gap between jobs, this will come from the tax office.

I would also make sure you keep a copy of the P45 :cool:

Good luck in your new job and I hope it leads to something permanent.

MoneyWaster2007

Thankyou again whatatwit (you dont sound like a twit to me- far from it!). Thats's really helpful, I will take a photocopy of my p 45 and send the original off on Friday, I appreciate you looking this up for me. Kind regards, MW :T