New tax code for 2007/2008

electrodent

How does NI and pension contributions fit into that? If I understand correctly company pension contributions is not counted as taxable income, but what about NI payments? And how can I work out what my NI contributions should be?

Also is there anyway I can find out if I'm on the right tax code. Basically 2006/07 tax year I started a new job and started contributing to a pension and I want to know whether the tax man has got it right. I've always mistrusted them since the time they took off £100 a month PAYE more than they should have :eek:

tigtag02

Inexpensive lady you have miscalculated by ommiting the 10% bracket!

NI is calculated at 11% on anything over £435.

I'm afraid Im not very *up* on pensions but I think that most are deducted from the gross pay before tax&ni become applicable.

HTH
tigtag

EDIT - electrodent, what is your current tax code?

electrodent

Hi tigtag,

Thanks for the reply. Stupid question but when it comes to tax I'm a stupid person. When you say 11% over £435, is that £435 a month?? I'm guessing it is but I want to make sure... And NI (including SP2) comes out before any income is taxed?

502L for 06/07. It's changed for 07/08. I've realised my tax for last year is further complicated by the fact that I had health insurance for part of the year. So last year went like this...

Old job with health insurance
Old job without health insurance
New job without health insurance but with company pension

Oh why oh why do we have to pay tax at all

jem16

tigtag02 wrote: »

I'm afraid Im not very *up* on pensions but I think that most are deducted from the gross pay before tax&ni become applicable.

Company/occupational pensions are taken from gross slary before tax is paid. However personal pensions are usually paid after tax has been taken.

tigtag02

electrodent the £435 is per month for NI calculations. And yes NI is calculated on your gross earnings.

Jem has answered your pension question.

Do you have your P60 yet?

maemaesmummy

Hi

Glad this was posted same has happened to me so if anyone can throw any light on this...

tax 503L £413.08 tax 522L £468.58

No payrise last year but am now obviously down in monthly net pay...

Is this right?

Any help would be appreciated.

jem16

Were you working for the whole of last year?

Was your gross monthly income for last month the same as this month?

We could help better if you provide those figures or visit here if you wish.

http://www.listentotaxman.com/

maemaesmummy

jem16 wrote: »

Were you working for the whole of last year?

Was your gross monthly income for last month the same as this month?

We could help better if you provide those figures or visit here if you wish.

http://www.listentotaxman.com/

Yes working all last year in same job...gross monthly last month and this month £2622.30...

really confused

jem16

Any pension payments either month?

maemaesmummy

Hi

Have a salary sacrifice scheme which is th same every month £167.38 shows as salary adjustment