Income tax

[squidge]

I started a new job in September, having not had an income since before April this year. So, my first payslip said I only paid my NI contribution and no income tax, so I figured I'd have my first 5035 quid tax free ( tax code 503L) then I'd pay income tax, but this month my pay slip says I've been paid 3200 pounds in total and have been taxed 24.70 pounds this month, how is this so?

Any guesses as to how much my next pay might be? I've annoyingly done my budgetting on the assumption I wouldn't pay tax until December, argh!

[aristotle]

You don't get the first �5035 tax free. This is divided by 12 and you get 1/12th each month i.e. �419.58. If you started in September, that means you had 6 months' worth stored up i.e. �2517.50. Presumably you didn't earn this much in September so didn't pay any tax. In October you must have used up your 7 months' worth of free pay hence you are now paying tax.
You can normally expect to take home about 70% of your gross pay unless you're in the 22% bracket.

[aristotle]

In that last line "unless" should read "if" - sorry.

[bednobs]

also the tax year runs from april 5th not from jan - dec

[Mrs_Pegasus]

I am assuming you mean �320? Because if not then you are definitely paying the wrong tax!!!!

It could have been that your tax had not been correctly input although they should have assumed emergency tax but this would have taken a large chunk of your income.

I would suggest you ring the personnel department of whoever you are working for and they will be able to tell you what is happening with your pay.