income tax help...i'm screwed!

CLAPTON

what was the week or month number (or date ) on your latest payslip

lynsayjane

CLAPTON wrote:

what was the week or month number (or date ) on your latest payslip

date 15/10/06
month number 7

CLAPTON

right:

lesson to be learnt is that i must get all the info first and not guess.

a. The P45 ..based on your leaving in week 24, the P45 is correct

b. your first pay in the new job was based on wk1/mth1 because they had not input your P45 details. So you paid too little tax.

c. your second pay at the new job was based on monthly pay (month7 october) and a tax code of 503L, is correct but because you paid too little the previous time then it is automatically corrected leaving you short.

d. next month, if you earn the same as last month, your take home pay should be about £727 approx and so on until year end.

e. finally, your payslip will show your total pay to date from April and your total tax from april, but will only show your NI contributions for this employment.

f. your payroll people don't actually correct your tax by adding and deducting, this happens automatically by the payroll programs

sorry about all the confusion.

Mikeyorks

Haven't re-run the figures - as Clapton appears to have them correct. And, as was becoming clear last night, it's your first pay that's caused the problems.

You've been given a full month allowance for just 2 weeks pay - and that lead to your tax being well understated. Which, as Clapton says, has been 'corrected' in your 2nd pay - leaving you a fully paid up member!

It will be back to par from this next pay - now the P45 etc is in the calculation. If you're still hesitant - your pay people might offer to 'dry run' this next pay for you, if they're nice, and tell you what your net will be?