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Two jobs and tax code
Lemon_Tree
Posts: 10,202 Forumite
Hi, I'm not sure if I'm in the right place but OH has now got two jobs, does anyone know how we can split his tax codes for both jobs, what do we need to know other than combined they don't hit his tax allowance so we don't want emergency tax on the second. Thanks for your help.
LT
LT
0
Comments
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very simple to do this.
If his combined wage is not going to go over the threshold, simply work out what his earnings for the year will be in each job (or best estimates), then call HMRC to advise them. Have these figures to hand along with the 2 employer details. if you can get the PAYE reference number of each employer, it could make things easier.
HMRC should then split the tax code accordingly and advise each employer of the relevant tax code to apply at the next available pay period.
If earnings on either job go over the proportion of the tax code assigned to that job, he will simply pay standard 20% tax on the additional earnings.Mortgage = [STRIKE]£113,495 (May 2009)[/STRIKE] £67462.74 Jun 20190 -
If the emergency tax code was used he would only pay tax if his pay was more than £228 (weekly pay) or £988 (monthly pay).
He needs to wait until he has been paid for the first time by the new employer before contacting HMRC.
Or he can check his personal tax account to see what information each employer has sent to HMRC. Once the new one has sent them some details he can contact HMRC and ask them to split his tax code as necessary.
When phoning it is a good idea to get an idea of what he'll earn this tax year (only part year earnings for the new job) and what he expects to get in a full tax year as what might be ok for the current tax year might not be the best option for a full year.0 -
I used all my tax allowance on my company pension which meant paying tax on everything I earnt when I started a new part time job. The company I worked for initially started me on an emergency tax code even though I had advised them otherwise, I obviously had to repay the underpayment.0
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