What are these tax codes?

Brie

Hey there

Just managed to get into the payroll system for my new job.  I'm sure I've been in it before but got locked out and then left it for a bit because things are busy.....

Anyhoo...  My first 2 payslips say the tax code is BR.  I'm thinking this might be some sort of emergency code while they are getting everything set up.  Can anyone confirm? 

The 3rd payslips says my tax code is 3T.  Now that doesn't look like any kind of tax code I get from HMRC so wondered what it meant.

I'm not overly fussed.  Money is reaching my account.  I know it will all be sorted out in time and I'll get a refund or need to pay a bit.  Just wondering what's happening and it's hard to get hold of anyone as everyone in the organisation is part time so is always playing catch up with emails.  I figures this crowd would respond a tad faster.

Marcon

A quick google gets you there: https://www.gov.uk/tax-codes/what-your-tax-code-means

Brie

Thanks @Marcon

Is there any easy way to tell if I'm still getting the married couple allowance and also the one for WFH?  Other than ringing up HMRC that is!?

Dazed_and_C0nfused

Brie said:

Thanks @Marcon

Is there any easy way to tell if I'm still getting the married couple allowance and also the one for WFH?  Other than ringing up HMRC that is!?

Married Couple's Allowance isn't identifiable from the tax code itself (do you really mean Married Couple's Allowance?)  Or job expenses.

What you need to do is check your Personal Tax Account to see how your main tax code has been calculated, that will show the full breakdown of your tax code allowances and also the exact amount which have been allocated to this new job. (should be in the range 30 to 39, hence the tax code 3T).

And the emergency tax code is 1257L.   BR is used for additional PAYE sources which aren't, in HMRC's eyes, your main job or pension.

Statement C on a new starter declaration would mean your employer would use tax code BR until advised otherwise by HMRC.

Marcon

The tax code of the partner receiving the Marriage Allowance will usually change to 'M'. This shows they're getting Marriage Allowance from their partner. If the partner who transferred their Personal Allowance is employed, their tax code will change to 'N'. This shows they've elected to use the Marriage Allowance.

Is your spouse's tax code showing an 'N'?

Reading this might be helpful - you can check if you are still eligible: https://www.moneysavingexpert.com/family/marriage-tax-allowance/

Brie

Marcon said:

The tax code of the partner receiving the Marriage Allowance will usually change to 'M'. This shows they're getting Marriage Allowance from their partner. If the partner who transferred their Personal Allowance is employed, their tax code will change to 'N'. This shows they've elected to use the Marriage Allowance.

Is your spouse's tax code showing an 'N'?

Reading this might be helpful - you can check if you are still eligible: https://www.moneysavingexpert.com/family/marriage-tax-allowance/

@Marcon - I've no way of knowing what tax code the OH has as he never gets anything from HMRC, hasn't for a couple of years and doesn't earn so doesn't get a payslip.    Hence my constant confusion.

Marcon

Brie said:

Marcon said:

The tax code of the partner receiving the Marriage Allowance will usually change to 'M'. This shows they're getting Marriage Allowance from their partner. If the partner who transferred their Personal Allowance is employed, their tax code will change to 'N'. This shows they've elected to use the Marriage Allowance.

Is your spouse's tax code showing an 'N'?

Reading this might be helpful - you can check if you are still eligible: https://www.moneysavingexpert.com/family/marriage-tax-allowance/

@Marcon - I've no way of knowing what tax code the OH has as he never gets anything from HMRC, hasn't for a couple of years and doesn't earn so doesn't get a payslip.    Hence my constant confusion.

His personal tax account should help - he'll have a tax code even if he isn't earning. If he doesn't already have such an account, see https://www.gov.uk/personal-tax-account

Brie

thanks again Marcon.  Can't see OH's stuff currently but I can see mine which at least gives me this tidbit of info

3T

From 26 September 2022 your tax code for xx is 3T

What 3T means

• Definition of tax code part 3.3
  The definition of this part of your tax code is as follows:Your tax-free amount for this employment or pension is £30.
• Definition of tax code part T.T
  The definition of this part of your tax code is as follows:Your tax code includes specific adjustments because of your personal circumstances. Your employer or pension provider will not change it until HMRC reviews it.
  
  

Which oddly does make some sense.  Nothing showing about me still having a code for WFH but I'll deal with that on another day.

Savvy_Sue

I think they removed the WFH tax code for 22-23, unless you re-apply and are entitled to it. 

For the pandemic years, you only had to WFH for one day to get it for the whole year. Now, your employer has to REQUIRE you to WFH (not a case of you choosing to do so), and I am not sure whether you get the full amount for the whole year, or whether they are going pro-rata - so if my company sent me home for a month, I might get 1/12th. 

SiliconChip

Unless you have any evidence that your employer is not applying the tax codes correctly (for instance, if you have received a P2 coding notice for a different code to the one on your payslip) then there's little benefit to raising it with the employer, as they are only doing what HMRC tell them. I'd suggest you call HMRC (early in the morning is best, lines open at 8 a.m. but you can sometimes get an answer a little before that), when I had to do it recently to get the tax codes for 2 pensions sorted out the lady I spoke to did it there and then, and I was only on the phone for less than 10 minutes.

Brie

Thanks all - it appears that the issue is that I have a pension in payment as well as being slightly employed.  That's why my payslip for the employment is showing something different than what I might have expected.