Missed Payroll Cut-Off, Heavy tax next month?

Ex_defected

Hi All,

As title states I missed the Payroll cut-off date to supply my Bank Details to my new employer. My own fault.

I will not be paid now until July, just wondering will this mean that i'll be taxed at a greater rate than normal due to salary x 2 > 1. Or is the tax man clever to differentiate two month payrolls?

Thanks..

Wyndham

You will be taxed more heavily, but it will then sort itself out as the year goes on. If it is going to cause you a major problem, you could always ring the tax office and explain. In my experience, while it's not easy to get through, when you do, you end up talking to someone who can help.

Ex_defected

Many thanks Wyndham, I thought as much.

getmore4less

Tax is not the problem NI might be if they don't process it correctly as it covers multiple pay periods.

Marcon

...but you do get an extra slug of personal allowance (i.e. 2/12ths instead of 1/12th, because you presumably didn't receive any taxable salary in the previous month).

chrisbur

What happens to your tax will depend on how you are taxed. Have you handed in a P45 if so what were the details; if not have you completed a new starter checklist, if so what declaration did you make. As has been said whatever happens it will eventually sort itself out so nothing permanent but the NI will not sort itself out if this is done wrong and it often is in these circumstances. If it is done incorrectly whether you overpay or underpay will depend on your level of earnings.

Xbigman

I disagree with all of the above.

You say you didn't give payroll your bank account details, so payroll should still have done a payroll run and have wages for you. What they should do now is issue a cheque but its possible they have some system where the payroll run isn't set up for this and they will pay you extra next month. In this case you would get the full allowances for the total period covered and be paid the correct amount.




Darren

chrisbur

Xbigman wrote: »

I disagree with all of the above.

You say you didn't give payroll your bank account details, so payroll should still have done a payroll run and have wages for you. What they should do now is issue a cheque but its possible they have some system where the payroll run isn't set up for this and they will pay you extra next month. In this case you would get the full allowances for the total period covered and be paid the correct amount.




Darren

Possibly but I would not count on it. This problem has come up here a few times over the years and there are certainly some perhaps quite a few payroll departments that will just put this through as if the two months wages are all for the one month.