having 2 jobs?

getting_sorted:-)

HI, how does it work if you have 2 jobs? Do you pay same rate tax on each one or does your tax band change so you pay higher amount on one/each one?

If i was to work full time at job A for 2 weeks, then change to part time when i start full time at job B is that ok? Do i need to change tax band or job A because its now part time? Will i be emergency taxed?

Thankyou :A

brazilianwax

Usually you would use your tax code on the job with the highest salary/longer term prospects. Then you'd be 'emergency taxed' (at basic rate) on the other job. At the end of the tax year you would then send your P60s from both jobs to your tax office and they would calculate any under/overpayment of tax.

If you intend to work 2 jobs for a long time or permanently, it might be worth asking the tax office to split your tax code between the two jobs (proportionally according to the salaries of each job). However, you'd still need to send the P60s in at the end of the tax year.

elantan

thanks i wasnt aware that i could ask for a rebate for my second job i thought i had to pay br on my second ...will send away copies of my p60 when i get them

brazilianwax

elantan wrote: »

thanks i wasnt aware that i could ask for a rebate for my second job i thought i had to pay br on my second ...will send away copies of my p60 when i get them

Depends what you earnt as to whether you are due a rebate

jem16

elantan wrote: »

thanks i wasnt aware that i could ask for a rebate for my second job i thought i had to pay br on my second ...will send away copies of my p60 when i get them

BR (Basic Rate)can be used on a 2nd job and also DO(Higher rate)

However at the end of the tax year, your total income from both jobs would be added together and tax would be worked out on that total. Your tax may turn out to be correct so either work it out yourself or phone HMRC and ask if you are due any rebate.

There is also the chance that you owe tax if the two jobs together take you into the higher tax band.

getting_sorted:-)

is there a minimum amount you would have to earn before you are in the higher tax band? Are the tax office quite good at sorting things out in general? My friend has had loads of problems with emergency tax.

Im worried if i take job A full time for 2 weeks then switch to part time when i start job B its job B which will be emergency taxed which would be disasterous as that would be my main job

brazilianwax

getting_sorted:-) wrote: »

is there a minimum amount you would have to earn before you are in the higher tax band? Are the tax office quite good at sorting things out in general? My friend has had loads of problems with emergency tax.

Im worried if i take job A full time for 2 weeks then switch to part time when i start job B its job B which will be emergency taxed which would be disasterous as that would be my main job

off the top of my head, higher rate tax kicks in at about £40k.

jem16

getting_sorted:-) wrote: »

is there a minimum amount you would have to earn before you are in the higher tax band?

It's £39,825 for this tax year.

Are the tax office quite good at sorting things out in general? My friend has had loads of problems with emergency tax.

2nd jobs aren't taxed as emergency tax. Emergency tax is 522L with Wk1 or M1 after it. The 2nd job is taxed at BR or D0 as all you allowances are used on your 1st job. That's why it's important for your 1st job to be the main one and the highest earning one.

Im worried if i take job A full time for 2 weeks then switch to part time when i start job B its job B which will be emergency taxed which would be disasterous as that would be my main job

Just make sure that whatever job is your main job and highest earning job will be the one using your main tax code. Basically that would be the one which earns you more than £7455 - your personal allowance of £5225 plus 10% band of £2230.

If the situation changes you can phone HMRC and ask if it would be better to have the codes swapped around between the two jobs.

getting_sorted:-)

jem16 wrote: »

That's why it's important for your 1st job to be the main one and the highest earning one.

Thanks, so really its not a great idea for me to start the part time job before the full time job?

jem16

Are you working at all at the moment?

brazilianwax

Shouldn't matter which you start first. Just make sure you give your P45 to the one with the higher salary.