I'd like some tax advice, please...

Mognificus_2

Since being medically discharged from the Fire Service 10 years ago, I've been working for the NHS on a casual basis, which is taxed as a second income at basic rate despite it being my main income.
I receive a pension of less than 6K anually from the Fire Service which has always been classed as my main source of income by the tax office, and this has always been taxed at whatever the going rate is for a married man.
I will shortly be joining the NHS on a full time basis, and would like to know if I should change things so that my NHS salary is classed as my primary income with my pension being classed as a second income? Does it make any difference or will the tax I pay remain the same? At the moment I seem to get clattered for tax on my main income whilst only paying a few quid a month on the pension.
I haven't a clue about tax and would appreciate any sound advice from someone who understands it all, please.

CLAPTON

as long as each of your incomes is at least the tax free allowances i.e. 5435 pere annum then your overall tax will be the same.


in previous years, when the 10% rate was still there, if your were taxed at BR on your NHS income and had your main allowances on the pension then you may have overpaid tax (assuming than your pension was less than 5225+2230).

jimmo

As Clapton has said, as long as your Fire Service Pension and your earnings from employment each exceed the personal tax allowance your overall tax should be the same.
The taxman regards your Fire Service Pension as your main source of income because it is permanent.
If you ask them to, HMRC will happily switch your codings around so that your pension is taxed at basic rate and you pay tax on your earnings as if it was your only taxable income.
Have you considered what will happen if you lose your job? Suddenly you would then find yourself with your Fire Service Pension being hammered at 20% and no other income.
With the best will in the world, you would be extremely lucky to get HMRC to switch your allowances back to your pension within days.
If you want a quiet life leave things as they are.