Please help me calculate my nett pay!

nbewsey

Morning Guys,

I'm going to be getting a total of 7.1% bonus this month and cannot for the life of me work out what my nett pay will be!

My salary is £30522 before tax and NI and I am going to be getting two bunuses this month, one of 2.5% and one of 4.6% (£763.03 and £1404 respectively).

I can't work out if this will take me in to the 40% tax bracket and if so whether 40% is paid on all of the amount or just the part that takes me over the 20% threshold.

Can anyone help?

Thanks

HappyMJ

You would be charged 20% tax and 12% NI. It may be a bit higher this month if the payments "year to date" add up to more than the 40% tax bracket but as the year goes on you'll get the extra back.

40% tax is always just on the excess not the whole payment.

zagfles

No you won't go into 40% even temporarily, assuming you got just basic salary in April & May.

You'll pay tax at 20% on it, plus NI at 12% on about half of it and 2% on the other half. You end up paying less NI getting all your bonus in one month than if it was spread over the year!

Russe11

nbewsey wrote: »

Morning Guys,

I'm going to be getting a total of 7.1% bonus this month and cannot for the life of me work out what my nett pay will be!

My salary is £30522 before tax and NI and I am going to be getting two bunuses this month, one of 2.5% and one of 4.6% (£763.03 and £1404 respectively).

I can't work out if this will take me in to the 40% tax bracket and if so whether 40% is paid on all of the amount or just the part that takes me over the 20% threshold.

Can anyone help?

Thanks

Always suprises me, those people earn respectable wages yet can't do maths and research.

nbewsey

Russe11 wrote: »

Always suprises me, those people earn respectable wages yet can't do maths and research.

Always suprises me, the amount of people that find the time to reply to threads with a useless comment just to get their post count up!

I guess asking a question on here doesn't count as research? HappyMJ and Zagfles have answered and now I can use that info to work it myself! Thanks guys :beer:

[Deleted User]

Hi,

I reckon you will be £1476 better of.

I used this wee calculator.

Firstly I worked out your monthly wage, presuming you're single and under 65, based on £30522, £1926 per month,

then worked out the monthly wage for £32689, (£30522 + £2167 bonuses) £2049,

that's a difference of £123 per month and multiplied by 12 to get £1476.

There's logic in there somewhere, hope you can follow it, no doubt somebody will be along to correct me, oh, and no doubt there will be an easier way.

nbewsey

Thanks frugalmacdugal, much appreciated.

Have bookmarked that calculator too!

zagfles

[Deleted User] wrote:

Hi,

I reckon you will be £1476 better of.

I used this wee calculator.

Firstly I worked out your monthly wage, presuming you're single and under 65, based on £30522, £1926 per month,

then worked out the monthly wage for £32689, (£30522 + £2167 bonuses) £2049,

that's a difference of £123 per month and multiplied by 12 to get £1476.

There's logic in there somewhere, hope you can follow it, no doubt somebody will be along to correct me, oh, and no doubt there will be an easier way.

Can't do it that way, NI works on a pay period basis not an annual basis. A one off bonus in a single month is not the same as the same bonus amount spread over the year.