Tax and NI contributions on a bonus

Alec_Eiffel_2

Hi everyone,

Quick question.

My net monthly pay is in the region of 77% of my gross monthly pay.

I have recieved a bonus in this months pay which I get taxed on etc. I've worked out that I'm only taking home around 67% of this bonus payment. Is this right? I assumed I'd take home 77% of it.

Bean_Counter

Without knowing any details of the amounts involved or your salary etc, 67% seems about right. Bonus would attract income tax at the rate of 22%, assuming this is your marginal rate, and 11% national insurance.

If not sure ask your payroll department at work to double check.

Alec_Eiffel_2

That's great, thanks very much for your help Bean Counter.

robnye

also above a certain amount you would pay the extra 1% nat insurance plus possible 40% tax....

Alec_Eiffel_2

I'm in no danger of having to pay a higher rate of tax!