Overtime calculator?

Diddums x

Diddums x

Diddums x

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Just had a pretty decent payrise so I'm looking to get some numbers crunched so I can budget for new shiniez.

I use the MSE calculator for basic take home pay which although isn't perfect, gives me a rough idea, but I'm also doing a considerable amount of OT and would like to know how this would affect my salary.

Anyone know of any online calculators that do this?


Cheers :)
 
Oh sweet, thanks folks.

The confusion I'm facing is that I will regularly be crossing the 40% threshold on a monthly basis and will cross it by quite a substantial amount at the end of the year which is going to throw it all over the place.

I should just hire an accountant for a couple of hours really.
 
You don't need an accountant if you're on PAYE - what would you expect them to do for you :confused:

It doesnt matter on a month on month basis if you cross the thresholds - your tax allowance is annual so the only thing that matters is how much you take earn in a year
 
iaind said:
You don't need an accountant if you're on PAYE - what would you expect them to do for you :confused:

It doesnt matter on a month on month basis if you cross the thresholds - your tax allowance is annual so the only thing that matters is how much you take earn in a year
Click to expand...

Unless youa re on a week 1/month 1 tax code of course. You will get any tax back overpaid the following year though but week 1 tax codes can mess people up who go in and out of 40% tax week by week.
 
Diddums said:
Ah gotcha, thanks.

So if I cross any thresholds, that only gets applied at the end of the year?
Click to expand...

Its complicated, but there's also little you can do to manipulate it - hence the reason an accountant wont be any use.

Your tax will go up and down month on month - so no its not just deducted at year end.

I think its based on a calculation along the lines of "what if this much was earned until the end of the tax year". It's all automatically calculated with PAYE.

At the end of the year, your P11D will show the total earned and total tax paid - generally this should be pretty much bang on but there are cases where it'll be under or over. In your case it's more likely that you'll have overpaid and you'll get a small refund.

However, the simple answer is that the more you earn the more you take home. Some people think that crossing the threshold means you earn less, this is of course nonsense. Do the hours you need/want and check the sums at the end of the year.
 
Usually my overtime take home calculations are pretty accurate by calculating your total overtime and retainer rates, then using a percentage calculator to work out 30% of that, and then deducting that value

30% should take in to account tax and national insurance for your overtime deductions


IE if you have totalled around £900 of overtime for that month, percentage calculator shows 30% of £900 is 270

900-270 = £630

Roughly take home around £630 of overtime
 
It may go up or down from month to month - the only thing that matters is that you check your P60 at the end of the year, put those numbers into the calculators mentioned above, and check that you've paid the right amount.

Mind you, even if you haven't, HMRC seem to be getting better at issuing refunds. They've written to me with cheques in the last couple of years without any specific prompts. But I would strongly advise being on top of it so that you can complain if needs be.
 
iaind said:
At the end of the year, your P11D will show the total earned and total tax paid - generally this should be pretty much bang on but there are cases where it'll be under or over. In your case it's more likely that you'll have overpaid and you'll get a small refund.
Click to expand...

You can't underpay via PAYE but you can overpay.
 
iaind said:
Its complicated, but there's also little you can do to manipulate it - hence the reason an accountant wont be any use.

Your tax will go up and down month on month - so no its not just deducted at year end.

I think its based on a calculation along the lines of "what if this much was earned until the end of the tax year". It's all automatically calculated with PAYE.

At the end of the year, your P11D will show the total earned and total tax paid - generally this should be pretty much bang on but there are cases where it'll be under or over. In your case it's more likely that you'll have overpaid and you'll get a small refund.

However, the simple answer is that the more you earn the more you take home. Some people think that crossing the threshold means you earn less, this is of course nonsense. Do the hours you need/want and check the sums at the end of the year.
Click to expand...

P60 you mean
 
amigafan2003 said:
You can't underpay via PAYE but you can overpay.
Click to expand...

I'd say it's quite easy to underpay via PAYE.

If they don't take into account company benefits, say health insurance or a car, and they find out about it at the end of the tax year, you'll be billed for it the following year.

Or if you start a new job, and they treat it as if it's your first job of the tax year, giving you another 0% allowance you shouldn't have had.
 
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