Suddenly being taxed 40% of my wages. Why could this be?

SpookySkelly69

I've been working at a company for 3 months now and I've noticed that my last two payslips have a PAYE deduction of 40% whereas it used to be only like 10%. Why could this be? It's not a high paying job or anything.

Who should I contact? Should I contact Revenue or is this something on the employers end?

This is my first proper job and have never had to deal with this before so I'm a bit clueless as in how to proceed.

livedadream

what does the payslip say in the PRIS class? (dont actually tell me but look it up here and make sure its right)


http://www.welfare.ie/en/Pages/What-are-the-PRSI-classes.aspx


theres loads of different reasons,

PAYE you could have earned over the threshold for the year, you could be in the system wrong, emergency tax etc etc.

the revenue (if you can stand being on hold for 4 hours) are actually really good at explaining this stuff.

TitianGerm

SpookySkelly69 wrote: »

I've been working at a company for 3 months now and I've noticed that my last two payslips have a PAYE deduction of 40% whereas it used to be only like 10%. Why could this be? It's not a high paying job or anything.

Who should I contact? Should I contact Revenue or is this something on the employers end?

This is my first proper job and have never had to deal with this before so I'm a bit clueless as in how to proceed.

Did you give your employer your PPS number?

Get your employers Tax Number and ring your local Revenue office and ask them to assign your tax to your employer.

CIARAN_BOYLE

8 weeks without a tax cert and you go on emergency tax.

SpookySkelly69

So should I fill out a 12A form and hand it into the Revenue office to sort this?

Kalimah

If you have a look at your payslip you'll probably see an E beside the tax figure. This signifies emergency tax. I'd say that's your problem. As another poster said you need to contact Revenue to get a tax free allowance cert issued to your new employer. You'll need your PPS number when you ring and your employer's number also. HR or your payroll can give you this. Once that's all sorted you probably won't pay much tax for a while. Hope this helps

Mrs OBumble

SpookySkelly69 wrote: »

So should I fill out a 12A form and hand it into the Revenue office to sort this?

Yes, if this is your first proper job, that is exactly what you should do.

You will get the extra tax back, but you need to get your tax records established with Revenue for this to happen.


For your first ever job in Ireland, you need to fill out a 12a.

For every other job, you just need to contact Revenue and tell them your start-date and your employer's registration number. (Some employers are very good at doing this for you, but some aren't so good. And if there was any time between jobs, it's helpful if you let Revenue know what was happening then. This is why I would always recommending contacting them yourself, just to be sure.)

aido79

Why is this stuff not taught at school at even a basic level. People go to school with the aim of eventually ending up in paid employment yet leave school in a lot of cases clueless about the tax they pay on what they earn. Tax is a fact of life for most people and with all the useless information(not everything taught in schools is useless information by any stretch of the imagination) that people learn at school surely they could squeeze in a few basic lessons on tax.
I know tax systems change all the time but giving people a basic understanding of it would go a long way to helping people who aren't sure about it.

livedadream

aido79 wrote: »

Why is this stuff not taught at school at even a basic level. People go to school with the aim of eventually ending up in paid employment yet leave school in a lot of cases clueless about the tax they pay on what they earn. Tax is a fact of life for most people and with all the useless information(not everything taught in schools is useless information by any stretch of the imagination) that people learn at school surely they could squeeze in a few basic lessons on tax.
I know tax systems change all the time but giving people a basic understanding of it would go a long way to helping people who aren't sure about it.

it is, its called Business Studies.
Maths..
Social and Scientific..

all subjects that cover tax, income or otherwise.

Mrs OBumble

livedadream wrote: »

it is, its called Business Studies.
Maths..
Social and Scientific..

all subjects that cover tax, income or otherwise.

How to do the calculations is part of maths.

What tax is (compulsory payment to the government, with no service necessarily delivered in return) is part of civics or whatever it's called here.

How to keep tax records for a business is part of accountancy.

How to plan for the tax aspects of business is part of business studies.



Things like:

• How to write a CV
• How to find a job
• How to manage your tax obligations once you have a job

should be taught to every student, not just ones taking particular subjects. However they don't fit neatly into any particular academic subject. Teachers like to think they're preparing their pupils for life "not just for work". And different families provide vastly different background for children about these topics. So typically at a personal level, they aren't taught.

livedadream

Mrs OBumble wrote: »

How to do the calculations is part of maths.

What tax is (compulsory payment to the government, with no service necessarily delivered in return) is part of civics or whatever it's called here.

How to keep tax records for a business is part of accountancy.

How to plan for the tax aspects of business is part of business studies.



Things like:

• How to write a CV
• How to find a job
• How to manage your tax obligations once you have a job

should be taught to every student, not just ones taking particular subjects. However they don't fit neatly into any particular academic subject. Teachers like to think they're preparing their pupils for life "not just for work". And different families provide vastly different background for children about these topics. So typically at a personal level, they aren't taught.

i was taught all of those things in 4th year. minus the tax obligations but i went to a school where it was assumed youd have an accountant to manage your millons. :eek::p

aido79

livedadream wrote: »

i was taught all of those things in 4th year. minus the tax obligations but i went to a school where it was assumed youd have an accountant to manage your millons. :eek::p

I don't remember being taught anything about tax credits, tax free allowance, tax rates on different levels of income, prsi or anything else that a lot of people seem clueless about these days. However when I got a job I soon figured out that it is necessary to know all of this as I waa going to be it almost every week for the rest of my working life.

Geuze

aido79 wrote: »

I don't remember being taught anything about tax credits, tax free allowance, tax rates on different levels of income, prsi or anything else that a lot of people seem clueless about these days. However when I got a job I soon figured out that it is necessary to know all of this as I waa going to be it almost every week for the rest of my working life.

Tax-free allowances were abolished over 10 years ago, and replaced with tax credits.

Tax credits and SRCOP are on JC maths.

livedadream

aido79 wrote: »

I don't remember being taught anything about tax credits, tax free allowance, tax rates on different levels of income, prsi or anything else that a lot of people seem clueless about these days. However when I got a job I soon figured out that it is necessary to know all of this as I waa going to be it almost every week for the rest of my working life.

did you even read my post?

Originally Posted by livedadream
i was taught all of those things in 4th year. minus the tax obligations but i went to a school where it was assumed youd have an accountant to manage your millons.

DonalK1981

You're not an international multinational?!

aido79

livedadream wrote: »

did you even read my post?

Originally Posted by livedadream
i was taught all of those things in 4th year. minus the tax obligations but i went to a school where it was assumed youd have an accountant to manage your millons.

My original point was that people aren't being taught their tax obligations at school and that it would be a good idea if they were.

livedadream

aido79 wrote: »

My original point was that people aren't being taught their tax obligations at school and that it would be a good idea if they were.

AS WAS MINE

but if your going to quote peoples posts and ignore what they said in it then theres not much point engaging is there its just causing an argument that doesnt need to exist.

we're all here to help the OP. I get that your a moderator and ill properly get in the **** for saying it but **** stirring doesn't help anyone. i clearly said in my post that i wasn't taught about personal Tax obligations in school and you picked it up, quoted me, and thenyou dont remember being though something i said I WASNT taught.

why try and cause an argument. we're all on the same side here.

aido79

Geuze wrote: »

Tax-free allowances were abolished over 10 years ago, and replaced with tax credits.

Tax credits and SRCOP are on JC maths.

I am aware of tax free allowances being abolished and replaced by tax credits.

I didn't realise tax credits and SRCOP were on JC maths. How long has this been the case?

aido79

livedadream wrote: »

AS WAS MINE

but if your going to quote peoples posts and ignore what they said in it then theres not much point engaging is there its just causing an argument that doesnt need to exist.

we're all here to help the OP. I get that your a moderator and ill properly get in the **** for saying it but **** stirring doesn't help anyone. i clearly said in my post that i wasn't taught about personal Tax obligations in school and you picked it up, quoted me, and thenyou dont remember being though something i said I WASNT taught.

why try and cause an argument. we're all on the same side here.

My apologies. I misunderstood the point you were making.
But you did say when you first quoted me that all of the tax basics is taught in schools through Maths, Business Studies and Social and Science.

SpookySkelly69

Kalimah wrote: »

If you have a look at your payslip you'll probably see an E beside the tax figure. This signifies emergency tax. I'd say that's your problem. As another poster said you need to contact Revenue to get a tax free allowance cert issued to your new employer. You'll need your PPS number when you ring and your employer's number also. HR or your payroll can give you this. Once that's all sorted you probably won't pay much tax for a while. Hope this helps

Anyway I did this and it's all sorted now, cheers.

exaisle

DonalK1981 wrote: »

You're not an international multinational?!

I don't know of any non-international multinationals....