Earnings earned last tax year, included on this tax year pay?

littleladylele

I had a job working 18.5 hours a week. In March my contract was changed and if I have been left with 5 hours a week. I am paid four weekly, the pay period ending on a sunday, and I get my wages the following thursday.

This tax year (from 5th april) I have been working 5 hours a week, earning £180 a month.

BUT
My last big pay (18.5 hours a week) was in march. I earned a good wage but it has been included in this last years earnings. ?

Surely, because I earned all of that money in the last tax year (not one penny was earned during this tax year) it should be included on last tax year? Because I get paid the following thursday after the week ending, pay day fell 2 days after the new tax year started, but I earned all that money during march, and therefore last tax year.

Am confused and having a big hoo haa with the tax office because I've just been taxed £128 out of £130 wages, so when you've got bills and rent to pay, £1.90 for a whole month's work is not funny.

chrisbur

Tax in calculated on the date that wages are paid not when they are earned so if paid two days into this tax year they were correctly taxed in this tax year.

As to paying £128 tax on £130 wages I would need more details. Your tax code and the tax basis, also details of gross tax and date paid for this wage and the wages before it this tax year.