Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

2nd job - how to divide tax credits

  • 25-02-2016 8:18pm
    #1
    alroley
    Registered Users, Registered Users 2 Posts: 1,246 ✭✭✭


    I'm currently on 310 gross per week on my current job. The only tax I pay is USC. I am starting a 2nd job next week which I will earn 100 gross per week.

    I was thinking I leave all my tax credits at the first job (63.47 weekly). Would this be right?
    How should I divide my weekly cut off (650)?

    Will I end up paying more tax?


Comments

  • #2
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,690 Mod ✭✭✭✭Stheno


    alroley wrote: »
    I'm currently on 310 gross per week on my current job. The only tax I pay is USC. I am starting a 2nd job next week which I will earn 100 gross per week.

    I was thinking I leave all my tax credits at the first job (63.47 weekly). Would this be right?
    How should I divide my weekly cut off (650)?

    Will I end up paying more tax?

    I'd divide your weekly cut off with 550 for the first job and 100 for the second job. You will pay more tax, on the second 100 you'll pay 20% tax, and you'll now be due to pay PRSI and more USC in both jobs. You will get a PRSI credit against your PRSI.

    IN total, you will probably pay 20 euro more tax, about 7 euro more a week in PRSI, and about 5.50 euro more in USC. You'll need to call the Revenue and have them be aware of the two jobs so they can assign your bands, and make sure you have no underpayment at the end of the year.


  • #3
    alroley
    Registered Users, Registered Users 2 Posts: 1,246 ✭✭✭alroley


    Stheno wrote: »
    I'd divide your weekly cut off with 550 for the first job and 100 for the second job. You will pay more tax, on the second 100 you'll pay 20% tax, and you'll now be due to pay PRSI and more USC in both jobs. You will get a PRSI credit against your PRSI.

    IN total, you will probably pay 20 euro more tax, about 7 euro more a week in PRSI, and about 5.50 euro more in USC. You'll need to call the Revenue and have them be aware of the two jobs so they can assign your bands, and make sure you have no underpayment at the end of the year.

    Thanks for your answer!

    Even if I was only earning say, 20 euro at the 2nd job, I'd still be taxed at 20%?


  • #4
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,690 Mod ✭✭✭✭Stheno


    alroley wrote: »
    Thanks for your answer!

    Even if I was only earning say, 20 euro at the 2nd job, I'd still be taxed at 20%?

    20% tax kicks in once you earn over 16500, sorry I didn't think of that.

    So in your current job you earn 16,120 per year, so you've 380 in tax free income available to the second job which is 19.23 gross per week that you can earn in the second job before you pay 20% tax.

    So you'd probably want to get revenue to assign the unused tax credits to the second job.


Advertisement