How to calculate part-time salaries?

smileylondongal

Hi all,

Re-joining the job market soon and wondered how people worked out a part-time salary? I've always been full time so I'm a bit confuddled!

If a 3 day a week role, say, went for £30,000 pro rata, how do you work this out?

Thanks everyone!

McKneff

Divide the £30K by 52 (weeks) then divide 5(days) then multiply by 3 (days) the product is the weekly wage (3 days)

smileylondongal

Thanks so much - how about tax and NI and how they might come into it? I got the calculation above but the rest has been a pain in the bottom to work out, lol!

McKneff

NI is 12%, tax is a bit more difficult for me (:D) as your starting after April, The tax code is 747 so you can earn £7475 before paying tax, this is spread out over the year. If you have been claiming JSA or something this is also counted.

If you have no P45 for your new employer ask them for a P46.

It will be a while before you pay any tax as yu will have to use up all your unused allowance since April.

Congratulations on yur new job and good luck.

Mudd14

What is your tax code? and your year to date earnings?

pleasedelete

Some employers work in hours not days as the working day may vary in length (POETS).

smileylondongal

Thanks everyone. Just realised that my post was somewhat misleading - what I meant to say was will be rejoining the hunt in the job market, lol! I just want to make sure I know what I might be signing up for and your responses have been really useful as I hadn't realised (or forgotten!) that I'd have to reach the personal allowance before the deductions occurred. I'd like to make sure I make enough to make it worthwhile for my little one to go to nursery (or university as I keep referring to it accidentally - obviously have high hopes!!).

McKneff

You dont reach the personal allowance before paying tax.

If you started work in April, and earned over a certain amount per week you would pay 20% tax on that extra amount every week.

Divide 7457 by 52 and you will come to the amount of tax free allowance every week. anything over that then that is what you pay tax on.

wilkies5

smileylondongal wrote: »

Thanks everyone. Just realised that my post was somewhat misleading - what I meant to say was will be rejoining the hunt in the job market, lol! I just want to make sure I know what I might be signing up for and your responses have been really useful as I hadn't realised (or forgotten!) that I'd have to reach the personal allowance before the deductions occurred. I'd like to make sure I make enough to make it worthwhile for my little one to go to nursery (or university as I keep referring to it accidentally - obviously have high hopes!!).

Ah....don't get fooled into thinking you have to reach your pesonal allowance figure BEFORE your employer starts making deductions!! I thought that, working as a teaching assistant but in fact they estimate your annual income and make proportionate deductions from month 1....cumulatively!! I queried this and was told all employers do this just in case an employee leaves the job a day or so before they reach the personal allowance threshold...therefore avoiding tax/NI !! This is the way they ensure everyone pays their due.

LadyMissA

wilkies5 wrote: »

Ah....don't get fooled into thinking you have to reach your pesonal allowance figure BEFORE your employer starts making deductions!! I thought that, working as a teaching assistant but in fact they estimate your annual income and make proportionate deductions from month 1....cumulatively!! I queried this and was told all employers do this just in case an employee leaves the job a day or so before they reach the personal allowance threshold...therefore avoiding tax/NI !! This is the way they ensure everyone pays their due.

and if you lose a job say like me in July then April to June I had paid pro rata too much tax for the year so I got a small refund 6 mths later when the PAYE/NI had been submitted by my old company.

animalmagic84

wilkies5 wrote: »

Ah....don't get fooled into thinking you have to reach your pesonal allowance figure BEFORE your employer starts making deductions!! I thought that, working as a teaching assistant but in fact they estimate your annual income and make proportionate deductions from month 1....cumulatively!! I queried this and was told all employers do this just in case an employee leaves the job a day or so before they reach the personal allowance threshold...therefore avoiding tax/NI !! This is the way they ensure everyone pays their due.

This is correct, however if say you started work in month 6 of the tax year and therefore got to the end of the tax year and had essentially only had £3,737.50 (ie 50% of £7,475) taken into account as personal allowance, you would then be able to make a claim to HMRC for the tax that you would have overpaid (as the full £7,475 should have actually been taken into account for the year).