private pension and tax

Bob57Jayne62

My wife earns £2200 a year and has a private pension of £3752 per annum which she has just started drawing she has just had to pay £30.40 tax on her monthly pension payment of £311.14 is this right

MallyGirl

they will have used emergency tax if it is the first payment. It will resolve itself in the end.

Dazed_and_C0nfused

Bob57Jayne62 said:

My wife earns £2200 a year and has a private pension of £3752 per annum which she has just started drawing she has just had to pay £30.40 tax on her monthly pension payment of £311.14 is this right

In the short term probably yes but in the longer term she will get it back (based on what you have said).

She can update her expected income from each source on her personal tax account and that will prompt HMRC to review her tax codes for each source of income.

Ideally she should end up with something like this (for a full tax year),

Existing job = 755N
New pension = 375T

NB.  I'm assuming she has applied for Marriage Allowance.

xylophone

Existing job = 755N
New pension = 375T

But as pointed out above, the N code applies only if she has transferred part of her tax allowance to you.

https://www.iris.co.uk/support/knowledgebase/kb/12024/#:~:text=The person receiving the extra,from HMRC to do so.

https://www.gov.uk/personal-tax-account

molerat

To take that amount of tax in M10 then a tax code, other than the usual 1257X, must have been used - 190X ?.  Her on line tax account should show the basis for that code being applied.