Not sure if I am being taxed too much on my wage

Zenden8686

Hello all, this is my first post here so thanks for any help you can give.

I currently work in a school as an IT Manager and have a annual wage of 26276. I have put this into the calculator at listentotaxman.co.uk and it states that my tax should be 252.13 per month. However, my tax is coming out at a fair bit more than that. Annoyingly I cant give the exact amount because i get a small second income from the school i work at aswell. I do a "lunchtime duty" (give up my lunchtime to monitor students in the ict room) and get ten pound for each of these i do which also appears on the same payslip. I am unsure if this is included in my taxable pay or not. I also had a company car in my previous job and am unsure if this is causing complications.

My Taxcode is 627L / 0 . When i add that into the calculator on listentotaxman.co.uk the tax suddenly becomes higher.

Can anyone provide some advice and let me know where i stand?

any help hugely appreciated,
James

Dovah_diva

Have you contacted HMRC and asked them?

mcfisco

You should get a coding notice at least once a year to explain your tax code.
If you call the tax office, they're usually quite helpful and should be able to explain it to you.

notanewuser

Zenden8686 wrote: »

Hello all, this is my first post here so thanks for any help you can give.

I currently work in a school as an IT Manager and have a annual wage of 26276. I have put this into the calculator at listentotaxman.co.uk and it states that my tax should be 252.13 per month. However, my tax is coming out at a fair bit more than that. Annoyingly I cant give the exact amount because i get a small second income from the school i work at aswell. I do a "lunchtime duty" (give up my lunchtime to monitor students in the ict room) and get ten pound for each of these i do which also appears on the same payslip. I am unsure if this is included in my taxable pay or not. I also had a company car in my previous job and am unsure if this is causing complications.

My Taxcode is 627L / 0 . When i add that into the calculator on listentotaxman.co.uk the tax suddenly becomes higher.

Can anyone provide some advice and let me know where i stand?

any help hugely appreciated,
James

The "standard" tax code this year is 944L, allowing tax free earnings of £9449 per year. Your code is allowing you only £6279 of tax free earnings a year - ie you're paying an extra £634 in tax per year. Do you owe from previous years? Is this a hangover from your company car, which would have reduced your tax free allowance? How long have you had this code? Do HMRC have your correct home address? What paperwork have you had? When did you change jobs?

embob74

My OH is on a similar income to you and he pays more than that in tax....and his tax code is correct unlike yours.
Funnily enough I just had a quick nosey on the website you happened to mention (TWICE) and it's just ads.....makes your post look like spam tbh.

Zenden8686

Hello again all,

just to clarify, listentotaxman is a legit site. i think it just puts ads on to make its money. And to clarify again, i am not spamming.

Anyway, I spoke to HMRC this morning and it turns out they never removed the benefit of the company car from me so my tax code was wrong. They have been overcharging me since February 2012 so i am due a rebate, timing couldnt be any better aswell as i just got a new car on finance so really need to pay some of it off!

My taxcode is now 944L

Thanks for all the advice

SueC_2

embob74 wrote: »

Funnily enough I just had a quick nosey on the website you happened to mention (TWICE) and it's just ads.....makes your post look like spam tbh.

listentotaxman.com (not .co.uk).

Any

Zenden8686 wrote: »

Hello again all,

just to clarify, listentotaxman is a legit site. i think it just puts ads on to make its money. And to clarify again, i am not spamming.

Anyway, I spoke to HMRC this morning and it turns out they never removed the benefit of the company car from me so my tax code was wrong. They have been overcharging me since February 2012 so i am due a rebate, timing couldnt be any better aswell as i just got a new car on finance so really need to pay some of it off!

My taxcode is now 944L

Thanks for all the advice

"they" won't do it automatically.
They don't have a crystal ball to see you no longer have a car and it needs to be removed. It takes a while for the company to feed it down to them as the statutory reporting on this is only done once a year, and that is some time after tax year and then they have millions of these forms to go through.
If you have any changes in your life that might affect the taxes you pay it is always best to contact them yourself and make sure they are aware. They are good and usually suggest what to do next and correct your tax situation immediately.

You are fortunate, you will now get a refund... many people find out they have a tax bill of thousands when they don't realise they are not paying tax for their comp. cars!!

Robin_TBW

Surely calling HMRC would be the first thing to do...

Any

embob74 wrote: »

Funnily enough I just had a quick nosey on the website you happened to mention (TWICE) and it's just ads.....makes your post look like spam tbh.

It is .com, not co.uk but that is easy mistake to make.
Either way it is completely legit site and one recommended often, I have the feeling sometimes even by Martin himself.

notanewuser

I use it all the time, but when I looked last week it wasn't using 944L as the standard code.