![]() |
| If this is your first visit, be sure to check out the FAQ by clicking the link above. You may have to register before you can post: click the register link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. |
|
|||||||
| UK Finance (uk.finance) Discussion about Finance issues in the UK. |
|
|
|
Thread Tools | Display Modes |
|
#1
|
|||
|
|||
|
Can't find anything online, everything seems to want to calculate
liability for the year. My sister is temping and the only way to get wageslips is online; the agency website is being overhauled so she can't access her wageslip for the last two week's work. In a nutshell, she worked 84 hours @ £9 an hour and she's had £632.40 paid into her bank account. Does it sound about right? Basic rate taxpayer, no pension contributions, tax code 647L. If it isn't right, does anyone know how many hours they've paid her for to arrive at the £632.40 figure? Thanks in advance. |
| Ads |
|
#2
|
|||
|
|||
|
Rasta Pickles wrote:
Does it sound about right? Basic rate taxpayer, no pension contributions, tax code 647L. One also needs to know what was on the P45 she gave the employer. Which week of the year it was, and any tax and pay from that employer paid previously in the same employment. If she's on P46 procedures she will probably be on a week 1 tax code, not the cumulative one you quote. Also one needs to know how many weeks were covered. The £6,470 is spread equally through the year. The details may not be quite right, but it is approximately 6470 * week number / 52. This is subtracted from the gross pay to date and the amount multiplied by the basic rate. The tax paid so far is taken off and that is the amount of tax paid in the week. I think the NI thresholds and rates are done as the week's fraction of the annual figures, assuming a weekly wage. |
|
#3
|
|||
|
|||
|
David Woolley wrote:
The £6,470 is spread equally through the year. The details may not be quite right, but it is approximately 6470 * week number / 52. This is You should be able to get to the gory details by looking for something like "taking on a new employee" on HMRC's site, then following through from there. The actually proportioning of the tax free allowance uses a pre-computed table, if you are doing it manually. |
|
#4
|
|||
|
|||
|
David Woolley wrote:
Rasta Pickles wrote: Does it sound about right? Basic rate taxpayer, no pension contributions, tax code 647L. One also needs to know what was on the P45 she gave the employer. Which week of the year it was, and any tax and pay from that employer paid previously in the same employment. If she's on P46 procedures she will probably be on a week 1 tax code, not the cumulative one you quote. Also one needs to know how many weeks were covered. The £6,470 is spread equally through the year. The details may not be quite right, but it is approximately 6470 * week number / 52. This is subtracted from the gross pay to date and the amount multiplied by the basic rate. The tax paid so far is taken off and that is the amount of tax paid in the week. I think the NI thresholds and rates are done as the week's fraction of the annual figures, assuming a weekly wage. I would just add that we really need also to know if she is paid weekly or fortnightly; and if weekly then how the hours divided between the 2 weeks. This can affect tax if the code is being applied on the non-cumulative basis; and NICs if her earnings one week were above the primary threshold and the other week were not. It might all be a bit clearer if we knew what was on the last payslip she has: eg what if anything does it show for pay and tax to date as well as pay and tax for that week/fortnight? -- Robin PM may be sent to rbw0{at}hotmail{dot}com |
|
#5
|
|||
|
|||
|
On Jan 15, 5:10*pm, "Robin" wrote:
It might all be a bit clearer if we knew what was on the last payslip she has: eg what if anything does it show for pay and tax to date as well as pay and tax for that week/fortnight? -- Robin Weekly paid, but because of New Year she's submitted two timesheets. Her last payslip (representing a week) = gross year to date 1287.00 tax year to date 157.20 gross pay 337.50 (37.5 hrs x £9) tax 42.40 NI 25.02 |
|
#6
|
|||
|
|||
|
It might all be a bit clearer if we knew what was on the last payslip
she has: eg what if anything does it show for pay and tax to date as well as pay and tax for that week/fortnight? -- Weekly paid, but because of New Year she's submitted two timesheets. That's OK; and let's assume the tax and NICs have been computed for each week separately as they ought. Her last payslip (representing a week) = gross year to date 1287.00 tax year to date 157.20 gross pay 337.50 (37.5 hrs x £9) tax 42.40 NI 25.02 I make those figures right within a penny or two which I put down to the rounding in the tables[1] for a PAYE code being operated on the non-cumulative basis and NICs not contracted out (and not a married woman's rate). I forgot to say that we also need to know how the 84 hours worked divided between the 2 weeks as the payer ought to calculate the tax and NICs for each week separately if she is paid weekly. But from a quick look at them I had expected her to have around more deductions and around £37 less than £632.40 paid into her account . But this ain't my business anymore so I could well have gone wrong somewhere. [1]I can't be a***d to download the tables so have used the calculation method as best I recall it ![]() -- Robin PM may be sent to rbw0{at}hotmail{dot}com |
|
#7
|
|||
|
|||
|
On Jan 15, 6:25*pm, "Robin" wrote:
It might all be a bit clearer if we knew what was on the last payslip she has: eg what if anything does it show for pay and tax to date as well as pay and tax for that week/fortnight? -- Weekly paid, but because of New Year she's submitted two timesheets. That's OK; and let's assume the tax and NICs have been computed for each week separately as they ought. Her last payslip (representing a week) = gross year to date 1287.00 tax year to date 157.20 gross pay 337.50 (37.5 hrs x 9) tax 42.40 NI 25.02 I make those figures right within a penny or two which I put down to the rounding in the tables[1] for a PAYE code being operated on the non-cumulative basis and NICs not contracted out (and not a married woman's rate). I forgot to say that we also need to know how the 84 hours worked divided between the 2 weeks as the payer ought to calculate the tax and NICs for each week separately if she is paid weekly. *But from a quick look at them I had expected her to have around more deductions and around 37 less than 632.40 paid into her account . But this ain't my business anymore so I could well have gone wrong somewhere. [1]I can't be a***d to download the tables so have used the calculation method as best I recall it ![]() -- Robin PM may be sent to rbw0{at}hotmail{dot}com Thanks for your input. So you reckon £595 net on gross of £756? That seems a high deduction level? 37.5 hrs @ minimum wage gets you £190.44 a week? I think the hours worked were 41 and 43 = 84. |
|
#8
|
|||
|
|||
|
|
|
#9
|
|||
|
|||
|
So you reckon £595 net on gross of £756? Yep. That seems a high deduction level? 37.5 hrs @ minimum wage gets you £190.44 a week? I suggest minimum wage is a red herring when she is getting £9 per hour. But another way of looking at it is that the previous week she worked 37.5 hours when her deductions were tax £42.40 plus NICs £25.02 = £67.42 The following 2 weeks she earns *more* but you say she suffered *smaller* deductions of 84 x £9 = £756 minus amount paid £632.40 = £123.6 That's less than twice the deductions for the week when she worked less. So yes, I was expecting *bigger* deductions. I think the hours worked were 41 and 43 = 84. That's helpful - but doesn't explain the discrepancy. She should have paid at least as much tax and NIC for each week as she did for the preceding week when she worked 37.5 hours. Unless of course the PAYE code has changed in the meantime, or summat else is afoot. Could that "summat else" be that she was actually paid for *three* (3) weeks? Spreading the hours 84 hours evenly over three weeks I get a total of £123.40 deductions - near enough to the £123.60 you report. In any event, I'd advise waiting for the payslips as it certainly doesn't look to me that she's being ripped off. -- Robin PM may be sent to rbw0{at}hotmail{dot}com |
|
#10
|
|||
|
|||
|
On Jan 15, 9:13*pm, "Robin" wrote:
Could that "summat else" be that she was actually paid *for *three* (3) weeks? *Spreading the hours 84 hours evenly over three weeks I get a total of 123.40 deductions - near enough to the 123.60 you report. In any event, I'd advise waiting for the payslips as it certainly doesn't look to me that she's being ripped off. -- Robin PM may be sent to rbw0{at}hotmail{dot}com Bloody hell, I think you've nailed it! My sister now tells me the a time sheet she submitted (for 17 hours, Xmas week) wasn't paid because she missed the cutoff point. So, this £632.40 payment actually represents three weeks, 17hrs, 24hrs, 43hrs. Sorry for the misleading info - sisters, gotta love 'em! |
|
| Thread Tools | |
| Display Modes | |
|
|