Tax on a 2nd Job
- Thread starter Stinky
- Start date
Soldato
How does tax work on getting a second job?
id be looking at getting a bar job evening. wondering how much i am likely to get taxed
You will be taxed heavily my friend, so not recommended unless you REALLY need the cash
Only as much as he would be if he was earning the same amount extra in his first job.
Man of Honour
True.
Your second job will be fully taxed without any allowances since only one employer can posses your P45.
At the end of the tax year, your tax can be recalculated and any money owing will be paid back. Chances there won't be as as haircut said, it's just an extension.
The only time to be carefull is if you earn money in one job which is just below the 40% threshold. A second job may take you above this but you will only pay basic rate which means you will have to make up the difference.
Soldato
And National Insurance @ 11%
As has been said, the tax will most likely be the same. Provided you earn over £5435 per year in your first job, and overall are still within the Basic Rate Band, then your second job tax will all be at 20%.
You will most likely end up paying less national insurance than if you just earnt more from your first job though, as this is only charged for earnings in excess of £103 per week for any particular job on PAYE - not cumulatively over all income.
20%, and under £105. Otherwise correct.
You only pay NI on the percentage above - you don't lose money for making more. 11% is hardly all of your money. If you earnt £200 per week, you'd only pay £10.45 in NI. The £40 in tax is a bit more though!
Caporegime
NIC on multiple employments is a nightmare.
As for tax on multiple jobs... You can have a P46 for a second job which allows them to process your tax code in some way so you won't just pay BR and then have to make up any HR tax that you slip into as Huddy said (although that sounds unlikely given the numbers the OP has mentioned). I know some of the theory of it, but don't know fully how it works in practise.
As for tax on multiple jobs... You can have a P46 for a second job which allows them to process your tax code in some way so you won't just pay BR and then have to make up any HR tax that you slip into as Huddy said (although that sounds unlikely given the numbers the OP has mentioned). I know some of the theory of it, but don't know fully how it works in practise.
Soldato
you will get taxed heavily on it, however you must ring the tax office, so they can adjust your tax alowance on each job. Either way, if you earn over circa 5600quid a year you have to pay tax wether you have 1 job or 10. When i had multiple jobs I just waited til the end of the taxyear and claimed what I was owed back, easiest way imo.