Can anyone help with this?

bev309

I posted this thread in Savings & investments, but it may be better in here.

http://forums.moneysavingexpert.com/showthread.html?t=2359621

Thanks:beer:

fengirl_2

As this is the last month in the tax year, the tax deducted from this payment will be correct as it will finalise you pay and tax liability for the year.
There is nothing you can do about NI whihc is calculated on monthly income and is not cumulative like tax.

bev309

fengirl wrote: »

As this is the last month in the tax year, the tax deducted from this payment will be correct as it will finalise you pay and tax liability for the year.
There is nothing you can do about NI whihc is calculated on monthly income and is not cumulative like tax.

Ok, thanks. So do you know if will be taxed at the full rate like I thought?

Murdina

The value of the shares will be your top slice of income for the year - just as if you had been paid a bonus (as mentioned above, nothing you can do about NI).

And as has been said, as it is the last month of the tax year, the tax will almost certainly be the correct amount because PAYE is cumulative ie it adds up over the year.

So if your total income for the tax year is more than £6,475 you will pay tax on the excess at 20% (I am assuming you are not getting near to higher rates of tax!)

Work out what you think is due and compare it with the cumulative "tax to date" figure on your payslip. If it is wildly different, contact your tax office.

All of the above will be assuming your code is 647L and that you do not have other sources of income to any great extent.

bev309

Murdina wrote: »

So if your total income for the tax year is more than £6,475 you will pay tax on the excess at 20% (I am assuming you are not getting near to higher rates of tax!)

Higher rates? Hell no :rotfl:, just working to get out of the house a few hours a week, not a big earner!!!

On a more serious note - I have just checked my last payslip - I have only earned £5900 so far this year. So if I am understanding correctly, (probably not:p) the first £575 of this months pay will be untaxed as I still haven't reached the tax free threshold? Or am I getting this completely wrong?
Thanks:beer:

John_Pierpoint

Check the pay slip annual totals match your P60 when you get it soon.
then use the P60 figures to check tax is correct for the year.