Got my first pension payment

UncleZen

At last after working for years I am semi retired - yay!
Working 2 days for a the same company I was working for, and taking a final salary pension
The tax code on both payslips is 1257L this to me doesnt look right as that suggests the personal allowance is allocated to both. I believe one should be 1257BR
is that right?
Will this resolve itself when HMRC get the payment details? Or do I have to call them?
Thanks

molerat

The pension is most likely 1257LX which is correct for a first payment, that is what the rulebook says they must do, but you are right that they have given you the tax allowance twice.  This payment will be reported to HMRC who will review your situation and issue a code, maybe BR but with a reduction in your work hours they may decide to split the code on a M1 basis and anything will be corrected at year end.  Is your work pay still over £1048 per month ?

UncleZen

Thanks. Work is still over £1048/m

Dazed_and_C0nfused

Given how close we are to the end of the tax year I suspect what will happen is that you will remain on 1257L with the job (or possibly 1257L on a non cumulative basis) and have BR allocated to the pension, on a non cumulative basis.

And your main 2023:24 tax code will include a deduction to collect the tax owed for the current tax year.

molerat

There is a fair chance that your on line tax account has already updated.

UncleZen

Only the work source of income was present on the online account earlier this week when I looked. But I expect it to show both soonish.