Help with understanding tax increase

jennifernil

fredtarp wrote: »

Thank you for replies. My tax code last year was 376P and this year it is 355P.

Taking last years free amount of £3760 away from your OP of £4950 per annum leaves £1190 to be taxed, so a total tax of £238, or just under £20 per month.

Looks like you may have paid too little last year for some reason.

jem16

jennifernil wrote: »

I was only indicating that Jem had not calculated the increase and therefore increased tax correctly.

Quite correct. I had taken the monthly increase and the weekly increase and added them together for some reason.

jennifernil wrote: »

Taking last years free amount of £3760 away from your OP of £4950 per annum leaves £1190 to be taxed, so a total tax of £238, or just under £20 per month.

Looks like you may have paid too little last year for some reason.

Yes I agree. Tax code of 376P seems correct but tax taken in the last month is too little.

We would really need to see figures from at least March's pension payslip to have an idea of what's going on. Tax for this month is correct though.

xylophone

Re tax on on savings income ( current situation) http://www.hmrc.gov.uk/taxon/worked-examples.htm

From tax year 2015 onwards
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293747/Fact_sheet_template_-_10__tax_9.pdf