Can you hlp me work out if it's worth upping my hours at work?

sianie9

Here is a breakdown of my current payslip - this is based on me working 16 hours a week and was for Jan 10. My salary is £20858 pro rata and goes up by about £500 on April 1st (again, pro rata).

Salary sacrifice (childcare vouchers) - £210
Taxable pay - £541.64

Tax - -£9.40 (yes, that's a minus sign - I get tax relief for pension contributions)
NI - £5.15
Pension (LGPS) - £48.85

Net Pay - £497.04

I have been offered an extra day at work which would take my weekly hours from 16 to 23. This would give me £768.68 taxable pay per month. I'm trying to work out if it's worth it - it would cost me an extra £184 a month on nursery fees.

I need to work out
a. what my tax/NI would be on the new amount
b. would I start paying student loan contributions again and how much are they likely to be?
c. how it would affect my tax credits - we currently get about £100 a month. If my new earnings would significantly lower that amount then it really won't be worth it.


Can anyone with a head for figures work this out?

Thanking you in advance.....

Mrs_Money

sianie9 wrote: »

Here is a breakdown of my current payslip - this is based on me working 16 hours a week and was for Jan 10. My salary is £20858 pro rata and goes up by about £500 on April 1st (again, pro rata).

Salary sacrifice (childcare vouchers) - £210
Taxable pay - £541.64

Tax - -£9.40 (yes, that's a minus sign - I get tax relief for pension contributions)
NI - £5.15
Pension (LGPS) - £48.85

Net Pay - £497.04

I have been offered an extra day at work which would take my weekly hours from 16 to 23. This would give me £768.68 taxable pay per month. I'm trying to work out if it's worth it - it would cost me an extra £184 a month on nursery fees.

I need to work out
a. what my tax/NI would be on the new amount
b. would I start paying student loan contributions again and how much are they likely to be?
c. how it would affect my tax credits - we currently get about £100 a month. If my new earnings would significantly lower that amount then it really won't be worth it.


Can anyone with a head for figures work this out?

Thanking you in advance.....

Well, in the absence of anyone who really knows what they're talking about - I'll give you my view!
You say upping your hours would give you a taxable amount of £768.68 - when I do calculations like this I just take away 20% (IncomeTax) of that figure and then 4% (I think) of that figure for National Insurance and that would be roughly how much better off you would be a month (I make that around £584.19 but you'd better check my figures!) - less any workplace pension contributions or childcare costs.
Student loan repayments kick in at £15000 per year - don't they? So I don't think you're quite up to that yet - and even then I believe if you're just above the 15k you only pay back a percentage of the figure above - about £11 a month? Not sure about that. For checking tax credits you may get some help from Entitledto.com
to work it out. Hope that gives you some idea - bit of a ball park figure, but may help!

devon_guy

Go to https://www.listentotaxman.com and input all the details and that will work it out for you.