Net pay

[tigwig]

hi can anyone tell me if you earn �40,000 per annum and are employed not self employed how much net pay does this work out at weekly?

[kempie]

Assuming a personal tax code of 522L and no other outstanding tax liabilities or allowances, �40,000 pa gross equates to net takehome pay of...

�29,273.60 pa; �2,439.47 pm; or �562.95 pw

http://www.listentotaxman.com/index.php?calc=1 &year=2007&age=0&add=0&taxcode=&period=1&ingr= 40000&Submit=Calculate

[tigwig]

Kempie my husband says this is not right!! He works it out to be �500 per week based on 23% tax and 11% national insurance. He works in the construction industry if that makes any difference

[kempie]

Basing the result on a 23% tax rate is an estimate; the tax calculator is accurate.

If you check the above link you will notice that there is no 23% tax rate. Current (2007/8) tax bands are:

First �2230 @ 10%
�2231 - �34600 @ 22%
Over �34600 @ 40%

[tigwig]

thanks for your answer but my husband still insists it is 23% tax he would pay. I don't know but we will find out thanks for your trouble again

[kempie]

You are of course free to disregard my answer but bear in mind that UK has not had a 23% income tax rate since 2000 and that Class 1 NIC is not charged at all on earnings below the primary threshold of �5,200 pa (�100 pw).

http://www.hmrc.gov.uk/rates/it.htm
http://www.hmrc.gov.uk/rates/nic.htm

[Ethel]

Kempie is correct in both the calculations and the current UK tax and NI rates.

[annie0000]

Try this

http://www.pru.co.uk/home/calculator/income_ta x/

either �562 0r �573 depending on whether he is contacted out or not.

[tigwig]

thanks again for replying, kempie it is not me who disbelieves you I hope you are right! It's just my husband says he does pay 23% tax when employed as he must have done in the past. The full situation is he is self employed at moment as a bricklayer and the company pay 18% tax he pays own insurance. He has been approached about becoming a site manager again and is expecting around �40,000 hence my question. He worked it out and said it would only be �500net per week at the figures he thinks maybe he paid that before I don't actually know but it does seem rather low net amount to me and wouldn't be worth taking if that's the case, thanks for replying anyway