Tax worry regarding going into 40% bracket.. not sure how it works

welshlad46

As per headline my salary is £28,000 a year but ive done a load of overtime this last 12 months. I work for a council and my tax code has always been C1257L Cumulative.
 

We go April to April for the tax year and into the last month it has gone to £52,025 for Niable pay and £48,329 for taxable pay. Does this mean I have gone into the 40% bracket or is it still under? Ive googled what niable pay is but it isnt making much sence (as is most of the tax stuff to be fair haha).

I am hoping I am still just under but if anyone could help me on this it would be most appreciated

Thanks

theoretica

Maybe it is NI-(as in National Insurance)-able pay?

El_Torro

Your tax code isn't relevant, the important thing is how much income you make, including any income outside of your main employment. 

Everyone goes April to April for the tax year, your employer can't change when the tax year is to suit themselves.

I'm not sure why you have a different figure for NIable pay and taxable pay, I think what matters is the taxable pay. Either way if you're in England or Wales or Northern Ireland you start paying 40% tax at £50,270 so you're under that for either figure. If you're in Scotland you're in the 40% band with either figure.

[Deleted User]

El_Torro said:

Your tax code isn't relevant, the important thing is how much income you make, including any income outside of your main employment. 

Everyone goes April to April for the tax year, your employer can't change when the tax year is to suit themselves.

I'm not sure why you have a different figure for NIable pay and taxable pay, I think what matters is the taxable pay. Either way if you're in England or Wales or Northern Ireland you start paying 40% tax at £50,270 so you're under that for either figure. If you're in Scotland you're in the 40% band with either figure.

Pension contributions could well account for the difference between NI-able and taxable pay.

welshlad46

Im in Wales so hopefully it is on the £48,329 and not the £52,025… if it was over id have to chance this up or would they get in touch with me?

Veteransaver

I assume the difference between ni able and taxable is any pension contributions youve.made from.salary.
I assume though you are looking at your last payslip, is that your last payslip before 5th April or is there any more pay coming before then, as that might tip you into the 40%
You don't need to worry, it just means you'll pay 40% tax on the bit of your taxable salary over £50,270, 8t isn't some cliff edge where you suddenly pay loads more tax. . You can potentially put some additional into your pension to stay under the 40% though.
The relevant tax should be collected normally via payroll, there should be anything else you need to do unless you have income from another source or you or your partner receive child benefit.

molerat

40% starts in February, M11, at £34459 above your personal allowance.  You are at £36798 so £2339 into 40% tax.

To be a 20% taxpayer at the end of year you need to have a taxable income of less than £1951 in March.