redundancy payment & new job

missjy

I am being made redundant on 2nd December.
My payment includes:
- redundancy payment (not taxed)
- payment in lieu of notice (taxed)
- annual bonus (taxed)
- payment for leave not taken (taxed)

All my wages have been paid. The above will be paid on 15th December. I have been offered a new job to start on 5th December - I will be paid on 24th December for this job.

Therefore I will have redundancy payment made on 15th and salary paid in on 24th.

I know that if you have two jobs then you are taxed higher but these are not 'two' jobs - one ends before the other one starts, albeit that I get two payments in one month.

I was wondering would they be taxed seperately at their 'normal' individual rates or would HMRC see them as two incomes and therefore tax them higher than usual?

Thank you.

McKneff

You are not taxed higher, you are just taxed normally, it will all sort itself through your payrol in time.

Well done on getting a new job so quickly

Horseunderwater

missjy wrote: »

I am being made redundant on 2nd December.
My payment includes:
- redundancy payment (not taxed)
- payment in lieu of notice (taxed)
- annual bonus (taxed)
- payment for leave not taken (taxed)

All my wages have been paid. The above will be paid on 15th December. I have been offered a new job to start on 5th December - I will be paid on 24th December for this job.

Therefore I will have redundancy payment made on 15th and salary paid in on 24th.

I know that if you have two jobs then you are taxed higher but these are not 'two' jobs - one ends before the other one starts, albeit that I get two payments in one month.

I was wondering would they be taxed seperately at their 'normal' individual rates or would HMRC see them as two incomes and therefore tax them higher than usual?

Thank you.

Make sure to get the P45 and hand it into the new employer as soon as you can, that way your tax will be sorted sooner. New Employer may pop you on either Basic rate or 747L mth 1 emergency coding, until they get the new notice of coding - but essentially, it should sort itself out within 1-2 months. If you do not get a P45, make sure that you complete the P46 form. Also keep a copy of the P45 when you get it so that you know what you earned from previous employer.
Good luck with new job.

missjy

Thank you - I was having a bit of a panic!!

daisyf_2

well done on the new job