"nd Job

Guest101

Hi All,


Hope you can advise.


I recently started a second job, which means I now work 7 days a week (I know!)


Received my first payslip for the second job and the tax (20%) is deducted correctly, however neither NI contribution nor student loans were deducted from this?
- is this correct?


Thanks

molerat

NI will only be deducted on earnings over £156 per week in each separate employment.

Student loan - I am sure someone else will answer that one.

Guest101

molerat wrote: »

NI will only be deducted on earnings over £156 per week in each separate employment.

Student loan - I am sure someone else will answer that one.

Ah thanks for that. It's under £156 so that explains it, useful to know.

Darksparkle

Guest101 wrote: »

Ah thanks for that. It's under £156 so that explains it, useful to know.

https://www.gov.uk/repaying-your-student-loan/what-you-pay

Guest101

Darksparkle wrote: »

https://www.gov.uk/repaying-your-student-loan/what-you-pay

that's what I thought, and I pay on job 1, but nothing on job 2, strange.

Darksparkle

Guest101 wrote: »

that's what I thought, and I pay on job 1, but nothing on job 2, strange.

But it does say on the link that they can only do that if you earn over the minimum amount in that job.

Guest101

Darksparkle wrote: »

But it does say on the link that they can only do that if you earn over the minimum amount in that job.

Oh I see, I misread it. D'oh!


Thank you!


(pleased as this means i'll have more than I had planned for!!)

Darksparkle

Guest101 wrote: »

Oh I see, I misread it. D'oh!


Thank you!


(pleased as this means i'll have more than I had planned for!!)

For now yes but you still need to pay it. As it says on the link, HMRC may ask you to do a self assessment in order to repay your student loan that way.

bumpercars99

Darksparkle wrote: »

For now yes but you still need to pay it. As it says on the link, HMRC may ask you to do a self assessment in order to repay your student loan that way.

Sort of. While it is true that completing a self assessment would trigger additional student loan payments, HMRC would not request a self assessment specifically to recover the student loan payments. It would only be if you had to complete a self assessment for another reason that this would happen.

There is no real reason HMRC would send a self assessment to someone in these relatively simple circumstances. If no self assessment is requested, the money is NOT due and the OP will not have underpaid. It's just a bit of a quirk of the system that charges per job and per payment period like NI. The blanket statement that "you still need to pay it" is absolutely untrue.

Darksparkle

bumpercars99 wrote: »

Sort of. While it is true that completing a self assessment would trigger additional student loan payments, HMRC would not request a self assessment specifically to recover the student loan payments. It would only be if you had to complete a self assessment for another reason that this would happen.

There is no real reason HMRC would send a self assessment to someone in these relatively simple circumstances. If no self assessment is requested, the money is NOT due and the OP will not have underpaid. It's just a bit of a quirk of the system that charges per job and per payment period like NI. The blanket statement that "you still need to pay it" is absolutely untrue.

It is not untrue. The debt is still there until it is repaid. It doesn't disappear simply because it was not recovered via the employer. So ultimately it still needs repaid whether that is during the year or at a later date. It does not go away.

I know people who have been sent a self assessment purely for student loan repayments so it does happen.

It is not the same as NI. Regardless of whether you are under self assessment or not, you get an allowance for each employment. If on self assessment and paying student loans then the total income is used.

Personally I'd rather get it paid off sooner rather than later.

bumpercars99

Oh you mean like that... I meant the amounts deducted from pay are calculated per NI on a per job per period basis unless you enter into self assessment.

Many many students will never pay off their student loans due to the massive size of them. You are wrong in asserting that it doesn't go away because it does after 25 years. I have a well paid job and estimate I will clear my loan after around 22 years, assuming no time off for maternity etc which probably isn't realistic, I would find it easy to believe that many people will never clear them. So making additional voluntary payments is often counterproductive. I would also say that if someone is so tight for money that they're working 7 days a week in 2 jobs, the money is more valuable in their pocket now regardless of whether there's additional payments at the end.