Starting new job during paid holiday

Mrcvs

Hi,
My last day in my current job is 27th sept. I have a fair bit of pro rata holiday so my last day actually at work will be 17th sept, although I am on call the weekend 26th sept unless able to swap! Am I able to start my new job (not in anyway in competition with my current employer) whilst on my paid holiday from 17th sept, or do I need to wait until after my official finish date of 27th sept?
Thanks.

jobbingmusician

I'm not an expert, but it is possible that what your contract says might affect this. If your contract specifically prohibits you from any other paid work then it's iffy, but if it is silent........... personally I'd be tempted!

ShadowPuma

Since there would be no loss or competition issue to the current employer and you are already leaving them I'm not sure the other paid work clause would come in here even if it was in the contract? The usual remedies are firing someone and sueing them for damages due to being a competitor I thought? Not my area of expertise so maybe someone else could confirm that?

The main issue I'd consider is that for that paycheck you'd have to be sure that your new employer emergency taxed you in order to stop you from underpaying tax (by using the monthly allowance twice on both jobs).

I'd frankly say do it unless someone can come up with a damn good reason not to here!

t0rt0ise

I can't see a problem. You'd simply have two jobs for a while. Tax would be a problem and you'd probably overpay but you'd get it back in a following month.

burnoutbabe

why not make your final day earlier and then be paid the holiday? same difference in pay but you are not "working" in that final week.

agrinnall

burnoutbabe wrote: »

why not make your final day earlier and then be paid the holiday? same difference in pay but you are not "working" in that final week.

Perhaps the OP has to give 2 months (or more) notice so can't bring the end date forwards.

chrisbur

Just to clarify the tax position in a case like this.
Whenever you change jobs there is a possibility that there may be an overlap of payments with a payment from the old employer and the new employer falling in the same tax period. When you have employments overlapping this increases the chances of this happening.
As an example you are monthly paid and go to another monthly paid job your old employer pays your final salary on 6 July and your new employer pays your first salary on 5 August. Both of these dates are in month 4 for tax. Assuming you get a P45 in time for the new employer to operate it for their first payday your tax will be correct. It will seem to be excessive as there will be no tax allowance from the new employment as all used for old employment. You will be getting 13 payments in the tax year and one has to be paid without a tax allowance.
Very often the P45 will not get to the new employer in time for their first payment so they will offer a starter declaration form and use the emergency tax code. The emergency tax code will give you the standard tax allowance but you are not really entitled to that as your month 4 tax allowance was given to you by your old employer. The result is you are now under-paying tax. When your P45 is applied at a later pay-day the under-paid tax will be added to your normal tax.
As I said earlier when you have an overlap of employments this increases the chance of this happening.
Contrary to what has been suggested you are far more likely to under-pay rather than over-pay and being on emergency tax makes it more likely this will happen not less likely.

The first question you need to ask is am I going to be paid by both employers in the same tax month. If you are then you can do one of two things.
One decline to give the details asked for in the starter declaration and you will then be put on 0T tax. You get no tax allowance and provided you are not in the higher tax bracket your tax will be fine. Though if your P45 is late or delayed you may be overtaxed for a little while when you are only getting paid by the new employer.
Two give the details required for the emergency tax to be applied but remember you are being under-taxed and you will have a month eventually when that under payment will be collected so save up for that.

pete-20-11

Additionally, is there a risk they could cancel your annual leave? E.g. If a few colleagues were off-sick?

Prothet_of_Doom

P............................................46 to new employer. :j

getmore4less

There no legal or tax/NI reason not to work both jobs at the same time.

Contractually the current employer may not be happy but you are leaving.

The biggest risk is the new employer is not happy with you working while still under contract with the previous employer.

Dr._Shoe

When I left the forces (yes I was a WRAF) I'd save quite a lot of annual leave and I also had 60 days terminal leave too so I actually left almost 3 earlier than my discharge date. I started my "civvy" job the monday after my last day in uniform so I was still paid by the RAF for three months.

I spent all the extra cash on shoes!