Working two jobs

LegacyUser

Hi all,

I'm looking for a bit of advice on working two jobs.

I currently am employed for 10 hours. I'm on the books for 10 hours, the council know I'm working 10 hours so I'm paying rent in the house I live in. I get pay slips for these 10 hours also but I'm paid cash in hand here. I don't earn enough for PAYE but PRSI & USC is taken out.

I've been offered another job but I'd like to keep my other job too and do my 10 hours still. I'm confused about tax and how I will be taxed on these two incomes if I do and if being paid cash will cause problems. The new jobs will be more hours and as far as I know, I'll be paid monthly.

Will my two incomes be combined and be taxed as a whole? Will there be any confusion over being paid cash?
So, on my two pay slips, it will have what tax I paid on both jobs?

Mrs OBumble

> Will my two incomes be combined and be taxed as a whole?
Yes, provided you tell Revenue about them and have your tax records set up properly.


> Will there be any confusion over being paid cash?
No. Because PRSI etc are being taken out and you are getting a payslip, that means you are going thru the books. So the fact that you are paid in cash rather than by bank deposit is irrelevant.

> So, on my two pay slips, it will have what tax I paid on both jobs?
Each payslip will show the earning, tax credits and tax paid for that job. The tax-credits will be based on how Revenue set up your tax credits, but should be roughly proportional to your income in each of the two jobs. Ie if you get 80% of your money from one job, you should have 80% of your tax credits allocated to it.


Congrats on the job offer, btw.

tatli_lokma

Hang on, sounds to me like you only have 10 hours going through the books on your current job and the rest is cash in hand. In which case, your council rent is being based upon your official earnings, not the actual income you get. If I understand right, the PRSI and USC are only taken from the 10 hour portion, the rest of the hours are straight into your hand, is this correct?

So now you want a second job. Is this 2nd job entirely official, and all hours going through the books, and you get taxed, pay PRSI and USC on the whole amount?

You will need to advise the council of any increase in your income.

If you keep your 10 hours, loose the cash in hand hours at that job and then take on a legally paying second job with extra hours, you will be taxed on the total amount you earn between the two jobs. You must inform revenue and both employers that you are working 2 jobs and the tax cert which gets issued will split your credits so that your greater tax credit goes to the job which pays more gross. But you will pay tax, PRSI and USC on both incomes.

LegacyUser

tatli_lokma,

Sorry for the misunderstanding. I'm actually only doing 10 hours and being paid the 10 hours cash in hand. I don't do any extra hours. It's part time, it's all the place could give me when I started. It was better than no job so I took it.

I would definitely be contacting the council about the new job anyway, no worries on that one. And the new job is full time so I'll be earning enough to pay PAYE, PRSI & USC.

The reason why I want to keep the first job is because it's only full time for a few months. There is hope I'll be kept on but just incase I'm not, I rather have something to fall back on instead of no job and have to sign on the dole.

If it was going to cause a tonne of issues, I wouldn't bother with keeping the first job and just end up giving it up.

tatli_lokma

AnonO13 wrote: »

tatli_lokma,

Sorry for the misunderstanding. I'm actually only doing 10 hours and being paid the 10 hours cash in hand. I don't do any extra hours. It's part time, it's all the place could give me when I started. It was better than no job so I took it.

I would definitely be contacting the council about the new job anyway, no worries on that one. And the new job is full time so I'll be earning enough to pay PAYE, PRSI & USC.

The reason why I want to keep the first job is because it's only full time for a few months. There is hope I'll be kept on but just incase I'm not, I rather have something to fall back on instead of no job and have to sign on the dole.

If it was going to cause a tonne of issues, I wouldn't bother with keeping the first job and just end up giving it up.

I hear what you are saying but the 10 hours cash in hand is still income you should be declaring. Not just to Revenue but to the council. What you are asking about keeping the first job is illegal and AFAIK against forum rules. I know it's only 10 hours and might seem like no big deal, but working cash in hand and claiming benefits like lower council rent is still technically fraud.

If both jobs are above board then the 10 hours shouldn't make a whole lot of difference to your tax deductions, as I am guessing that the hourly rate would hardly push you into a higher tax bracket. There are a number of online calculators you can use to work out exactly what tax, PRSI and USC you will pay on both incomes. But the main thing for you is if your rent will increase in line with the extra hours. It might be that it will increase to the same amount regardless of you working one or both jobs. In which case the extra hours would be worth keeping busy least for now until you know for certain if the second job is going to be permanent.

Mrs OBumble

tatli_lokma wrote: »

I hear what you are saying but the 10 hours cash in hand is still income you should be declaring. Not just to Revenue but to the council. What you are asking about keeping the first job is illegal and AFAIK against forum rules.

Hang on, the OP said

" the council know I'm working 10 hours so I'm paying rent in the house I live in"

and

" I get pay slips for these 10 hours also but I'm paid cash in hand here. I don't earn enough for PAYE but PRSI & USC is taken out. "

So I'm really struggling to see what they are doing that's illegal.

The only possible thing would be total hours worked, if the full-time job is more than 38 hours per week.

OP, unless I'm missing something, what you're suggesting is fine and won't be a big hassle.

tatli_lokma

Mrs OBumble wrote: »

Hang on, the OP said

" the council know I'm working 10 hours so I'm paying rent in the house I live in"

and

" I get pay slips for these 10 hours also but I'm paid cash in hand here. I don't earn enough for PAYE but PRSI & USC is taken out. "

So I'm really struggling to see what they are doing that's illegal.

The only possible thing would be total hours worked, if the full-time job is more than 38 hours per week.

OP, unless I'm missing something, what you're suggesting is fine and won't be a big hassle.

OP keeps referring to 'cash in hand' which is common terminology for getting paid without it being declared to Revenue. Hence way I am confused myself as to the actual situation. You can't get paid 'cash in hand' and also have deductions made, it's one or the other.

Esoteric_

tatli_lokma wrote: »

OP keeps referring to 'cash in hand' which is common terminology for getting paid without it being declared to Revenue. Hence way I am confused myself as to the actual situation. You can't get paid 'cash in hand' and also have deductions made, it's one or the other.

I would imagine he literally gets paid cash in hand -cash handed to him, rather than put in a bank account. I get paid in cash, handed to me, but all tax and other necessities are deducted.

LegacyUser

Apologies for the confusing, once again. To clean up some things;

- I'm paid cash for the 10 hours I do. But like what Esoteric said, my taxes are taken out. I get a gross wage and then tax is taken from it and I'm paid the total into my hand. The pay slips I receive have these amounts (gross, taxes and total) all listed. The taxes I pay are only PRSI and USC. I don't earn enough to pay PAYE.
- I'm not claiming any social welfare.
- The council know I'm working the 10 hours and my rent is based on these 10 hours. It's very little rent.
- The Revenue also know I'm working these 10 hours and when I started I received my tax credits for the year from them.

In short, I am declaring ALL the income I earn which is ONLY the 10 hours in cash both to the Revenue and the council (for rent purposes)


All I'm wanting to know if having the two jobs and being paid cash in one would cause too much hassle for me.

happywithlife

As previous(helpful) posters have said, your tax credits will be split become both companies so it shouldn't cause a hassle.
Best of luck with it!

tatli_lokma

OP, thank you for clarifying. My confusion was due to the term 'cash in hand' and in your first post where you mentioned getting paid for 10 hours but also being paid cash in hand. This implies being paid without declaring the income. In fact you are being paid like many small businesses do, with cash in an envelope and your payslip. This is a very different thing. So once again abologies for the misubderstanding, but it was not clear to me what you were talking about.

To confirm, you can work as many jobs as you like, and you just need to advise revenue that you wish for your credits to be split accordingly. You will find that they are very helpful with this, and you will just need to give them the number of hours and rate per hour for each job and they can advise you what is the best way to split the credits (50/50, 60/40 etc etc). The manner in which you get paid is irrelevant - be it cash, cheque or electronic transfer. Nor is the frequency relevant - you can work one job and get paid weekly and work a second job and get paid fornightly or monthly. Each job will work out your credits and pay you accordingly. You just need to contact revenue with your PPS number and your new employer registration number and they can organise it all for you over the phone.

You will need to make sure however that your new second job is credited on a culumaltive basis, not a week one basis - make sure you clarify with revenue when you speak to them that you will be credited on a cumulative basis.

I would also recommend that in the new year when you get your P60's from both jobs that you then request a P21 balancing statement from revenue as there will be a chance that you may pay a little bit more tax initially due to the sudden increase in your hours. By requesting a P21 if you have made any overpayment you will get a rebate from revenue.

One important thing to consider however, is that the maximum working hours per week permitted are 48 as per the Organisation of Working Time act. This is not to say that you can never work over 48 hours, but generally the rule is a 48 hour limit. I don't think this will initially be an issue for you as the average over a period of a few weeks applies, so this gives you a chance to work extra hours until you can be sure if the second full time job leads to permanancy. However, if you do get made permanent, then remember that between the two jobs you shouldn't be working in excess of 48 hours on a regular basis. This means that your new job should not be for any more than 38 hours per week.

happywithlife wrote:

As previous(helpful) posters have said,

that helpful enough for you? :rolleyes: