Is this right, the Tax and NI I pay?

puddingcat

Hello all,

New to this site so please be gentle..

I've just had a browse at my monthly payslip and see:

Gross = 2593.04 pm
Net = 1931.44 pm
Tax = 426.20pm
NI = 235.40pm

My tax code is 553L (I claim for professional subscriptions which is why it isn't 543L for this year) ad I'm a BR tax payer.

I've calculated that I pay 16.43% tax and 9.07% NI every month, is this right?

I though tax was 20% (though know I have my personal allowance, but not sure how to work it out) and I thought NI was 11%?

Many thanks in advance

bryanb

Are you complaining that you haven't paid enough? Haven't done the maths but maybe you don't pay tax on the NI part. Or is it NI on the tax part?

Mikeyorks

puddingcat wrote: »

I though tax was 20% (though know I have my personal allowance, but not sure how to work it out) and I thought NI was 11%?

The tax and NI look to be spot on. Try this calculator (but watch you input 553L into the Code Box and change the period to Monthly)

Your personal allowance is £5535 ..... so you get one twelfth of this at £zero rate - so that depresses the average tax paid below 20%?

http://www.listentotaxman.com/

tigtag02

You think you are paying less because you are not taking your allowances into account.

The 11% & 20% are payable AFTER allowances

EDIT: how strange ~ you deleted your post

puddingcat

Hi bryanb, .. Ha ha not complaining but wondering and don't want a nasty surprise frm Taxman years down the line.

Thanks Tigtag, deleted post by accident, was trying to edit then got mad when computer froze.

Thanks MikeYork for the calculator. .. So the NI is 11% AFTER tax?

One more question if I may?

Is there a formula that calculates NET monthly pay from Gross annual salary please? I know the calculator posted by MikeYorks does this, but I wondered what the formula is?

For instance, say I want to apply for a job that pays £35K GROSS, how can I calculate my take home pay per month? (So far I've divided Gross/12 to get monthly, then worked out 2/3rds of this as a rough guide, but it's not entirely accurate is it)?


Hmmm, and why does that tax calculator say my NI is 9%?
Thanks once again

CLAPTON

gross annual pay
less any pension payments if paid gross
gives taxable pay
less personal allowance usually 5435 but may be different
then the next 36000 at 20%
and anything else at 40%

NI is either 11% of (gross earning - 453 ) if you are not opted out of state 2nd pension
or 9.4% if opted out
and at 1% of earning over 40,040

puddingcat

That's interesting Clapton. How can I find out if I've somehow 'opted out' of the state 2nd pension? (I used to have a pension many moons ago for a year, and I needed the money so cashed it in. Silly me I know).

I wonder if I would have opted out of 2nd state pension when I first started my own pension, and hten didn't opt back in again when I stopped my own pension and cashed it in. Is that possible do you know?

What's the implication of having opted out of the 2nd state pension? (Am I more doomed than I thought)?