Tax credits when correcting?

rose23

Hi all,

I am starting correcting in the next few days. Im wondering if its worth my while swapping over my tax credits to the state exams commission, what do ye do/suggest?

I had a fixed term contract this year and the same next year.

Thanks!

TheDriver

all depends if you went above the 40% threshold which is about 33k. Unless you're stuck for the cash, its probably easier to do it at the end of the year.

Moody_mona

I don't think it's worth it then. If you move your tax credits, your normal salary will be taxed higher, so there's no point. I didn't do anything. If you were bring paid for the summer etc it would be worthwhile. Not looking forward to how much the tax man is going to take!!

Inspector Coptoor

Don't move tax credits unless you're unemployed during the summer and/or earning less than €32,800 in a year.

With the correcting you'll be paying roughly 52% in tax.

It wouldn't be unheard of for someone correcting to get the €1100 advance in early July and earn 2.5-3k correcting and then end up only getting another couple of hundred euro in November with the balancing statement

Moody_mona

If I got an advance of 1100, I'd be worried I'd have to give some back when it's all sorted out in October/November!

Inspector Coptoor

It happened to a friend of mine a few years ago.
She got an advance of €1200, earned about €2.4k.
When all was said and done, she owed them €5 as her net pay was €1195.

You're usually working for the advance unless you're an LC examiner and marking 350-400 papers.

rose23

Thanks for the advice guys!