working several jobs to get out of debt - tax question

tiredwithtwins

Hi
I wonder if any of you have taken on several jobs to enable yourself to get out of debt, and managed to do so in a way that you aren't paying tons of income tax?
im a nurse working for the nhs on a zero hours contract - I work about 50 hours a month and have this as my main job so it has my tax code - 111L. (I pay nhs pension contributions and will soon - by july- be back in a full time nhs substantive post) I also work for the nhs nurse bank where im working about 40 - 60 hours a week and pay BR tax; I have just signed up with an agency as the rate is slightly better than the nhs but due to having to travel around 30+ miles by train to get to work (silly local nhs rules means you cant work in your own trust on agency if you are also on the nurse bank) I will only be working 10-20 hours a month with them again on BR tax.
Is there a limit to the amount I can earn doing bank/agency alongside my main nhs job? I don't want to end up paying a ton in income tax because the combined wages mean Im in the higher tax bracket? or is that only calculated from your main job with any other jobs set at BR ... ?
I don't want to end up in trouble for dodging tax (im in enough debt, don't need more!!) so want to make sure I do things properly,
thank you for any advice,
Sue

tiredwithtwins

am I right to think I can earn £43000 in ALL jobs combined before I have to pay 40% tax? (id be getting close to earning that if I work the 60 hours a week on the bank)
thanks again
sue

phoenixx

tiredwithtwins wrote: »

Hi
I wonder if any of you have taken on several jobs to enable yourself to get out of debt, and managed to do so in a way that you aren't paying tons of income tax?
im a nurse working for the nhs on a zero hours contract - I work about 50 hours a month and have this as my main job so it has my tax code - 111L. (I pay nhs pension contributions and will soon - by july- be back in a full time nhs substantive post) I also work for the nhs nurse bank where im working about 40 - 60 hours a week and pay BR tax; I have just signed up with an agency as the rate is slightly better than the nhs but due to having to travel around 30+ miles by train to get to work (silly local nhs rules means you cant work in your own trust on agency if you are also on the nurse bank) I will only be working 10-20 hours a month with them again on BR tax.
Is there a limit to the amount I can earn doing bank/agency alongside my main nhs job? I don't want to end up paying a ton in income tax because the combined wages mean Im in the higher tax bracket? or is that only calculated from your main job with any other jobs set at BR ... ?
I don't want to end up in trouble for dodging tax (im in enough debt, don't need more!!) so want to make sure I do things properly,
thank you for any advice,
Sue

Hi Sue
I currently work 3 jobs but have done up to 6 before. I found out the hard way that anything over the BR, no matter where or when you do it, counts for higher rate tax. I am currently paying back a four figure sum to HMRC because two of my other employers assumed BR and I underpaid tax. I still do extra work but have cut back on hours and have to work out all extra on 40% tax There are ways you can bring in extra cash with tax allowances e.g. taking in a lodger if you have a spare room. It is up to you how you balance it all out but if you do add on the hours the higher rate tax will kick in. I think the BR threshold is just short of £43000.
Phoenixx

phoenixx

tiredwithtwins wrote: »

am I right to think I can earn £43000 in ALL jobs combined before I have to pay 40% tax? (id be getting close to earning that if I work the 60 hours a week on the bank)
thanks again
sue

It is your total amount earned that is calculated for tax. If you receive child benefit the reduction comes in after 50k and tapers down to nothing.

PippiShortsock

If all your income after deducting your pension contributions comes to more than £43,000, you'll have to pay 40% on the bit over £43,000.