Am I on the right Tax Code?

erazor51 · 30 Apr 2020 at 23:15

Note sure if anyone can help with this but my first payslip on a 60k salary for March I was on tax code 1213L. This month I am on tax code 813L. This has now resulted in me getting taxed an extra £130.

I should be getting around £3,300 a month but getting £3,170 instead. This includes student load deductions too.

Anyone on a similar pay can check their Tax Code?

Thanks!

Resident · 30 Apr 2020 at 23:19

Call HMRC?

At a guess they'll have some access to the tax system that members of OCUK don't .....

OldKitMan · 30 Apr 2020 at 23:19

That's a 4 grand deduction on your tax allowance so an extra £1600 tax a year, extra 133 a month.

If you register for the 'personal tax account' service on the government website it will show you how your tax code is made up exactly and it will be clear from there. Not sure how instant that is these days though.

Maybe your payroll dept can advise but do you happen to have any children and are you claiming Child Benefit?

erazor51 · 30 Apr 2020 at 23:38

OldKitMan said:
That's a 4 grand deduction on your tax allowance so an extra £1600 tax a year, extra 133 a month.

If you register for the 'personal tax account' service on the government website it will show you how your tax code is made up exactly and it will be clear from there. Not sure how instant that is these days though.

Maybe your payroll dept can advise but do you happen to have any children and are you claiming Child Benefit?

Ah yes, I have two girls, I am claiming child benefit for. Previously I was earning 50k and now on 60k I believe I am over the child benefit limit? This must explain the extra tax?

OldKitMan · 30 Apr 2020 at 23:42

erazor51 said:
Ah yes, I have two girls, I am claiming child benefit for. Previously I was earning 50k and now on 60k I believe I am over the child benefit limit? This must explain the extra tax?

aye, earn over 50k and you get your amount of child benefit reduced, hit 60k and you get nothing.

2 kids would get you £1,820 a year which roughly works out at what your tax code has changed by. Worth checking though just to be sure.

erazor51 · 30 Apr 2020 at 23:49

OldKitMan said:
aye, earn over 50k and you get your amount of child benefit reduced, hit 60k and you get nothing.

2 kids would get you £1,820 a year which roughly works out at what your tax code has changed by. Worth checking though just to be sure.

Makes sense, thanks for your help, will do!

Diagro · 1 May 2020 at 01:17

So, you're earning more but end up earning less. Great system isn't it

Surveyor · 1 May 2020 at 01:26

Diagro said:
So, you're earning more but end up earning less. Great system isn't it

He has to pay back the child benefit but he's still better off overall on £60k than he was on £50k.

Surveyor · 1 May 2020 at 01:26

Double post.

Angilion · 1 May 2020 at 08:13

Diagro said:
So, you're earning more but end up earning less. Great system isn't it

Most welfare payments have a cap of rather a lot less than £60K income per year.

Martynt74 · 1 May 2020 at 08:19

I thought based on the other thread that the child benefit didn't get taxed this way and needed the individual to either opt out or to repay the overpayment?

Psycho Sonny · 1 May 2020 at 08:31

If his tax code has changed some of it must be assigned to another job or its been reduced on purpose to pay back underclaimed tax from previous years.

I suggest he calls them as every bit of advice given in this thread is pure speculation.