How do I work out tax etc.

tigerfeet2006

My husband has been offered a job which will give him a wage of £37,800. He is currently on a wage of £22,000.

I’m trying to work out what his take home pay will be after tax, National Insurance, pension, student loan are taken out.

I am not working and am on maximum PIP.

We currently get £139 tax credits which I guess we are going to lose but I’m not sure how I would calculate this.

We don’t recieve any other benefits.

Hopefully someone can help me workout what will happen and how much we will be bringing in a month.

MovingForwards

https://www.thesalarycalculator.co.uk/salary.php

To work out his new wages.

MovingForwards

https://www.entitledto.co.uk/benefits-calculator/Intro/Home?cid=bedb6e0a-7970-4af9-b7dc-d30a84889857

To see what benefits are available on the new wage. Probably just your PIP, but his wage increase will cover the loss of tax credits.

I'm assuming there are no children.

tigerfeet2006

Thank you very much I’ll have a go with them.

We have three children all in full time education.

tigerfeet2006

As far as I can work out my husbands monthly income will be around £2,177.

I think I’ve completely mucked up the tax credits as it says that I will be entitled to more money. Will have to sit and have another try tomorrow. Unless anyone can explain why we’d get more.

So if my wage calculations are right and we do lose tax credits as I think then it works out that we will be gaining nothing with the higher wage.

Dazed_and_confused

I think you need to do your sums again.

Before taking into account student loan and pension contributions the increase is worth nearly £900/month after tax and National Insurance.

And don't forget the higher the salary now the higher his pension is likely to be when he retires.

tigerfeet2006

I’ve put it through again and this is the calculation I get back.

Income 3150.00
Pension 131.93
Taxable income 1872.23
Tax 374.45
NI 291.68
Student loan 174.56
Monthly wage. 2177.38

Dazed_and_confused

So how does this compare to his current pay slips?

tigerfeet2006

Current is

Income. £1833.33
Pension £ 105.76
Taxable income £ 685.91
Tax £ 137.18
National Insurance £ 133.68
Student loan £ 27-99

Total. £1428.72

Barny1979

tigerfeet2006 wrote: »

Current is

Income. £1833.33
Pension £ 105.76
Taxable income £ 685.91
Tax £ 137.18
National Insurance £ 133.68
Student loan £ 27-99

Total. £1428.72

Taxable income £ 1685.91 you mean?

YorkshireBoy

Barny1979 wrote: »

Taxable income £ 1685.91 you mean?

No she doesn't. If that were the case she'd have two figures wrong, the second one being the tax due. She's taken off his personal allowance (of circa £12,500).