Tax on Second job

5ive

Thinking of applying for a second job. How does this work tax wise? Will I be heavily penalised? I do 36 hours per week now-new job will be an extra 21 hours if I get it.
Thanks in advance

CIARAN_BOYLE

5ive wrote: »

Thinking of applying for a second job. How does this work tax wise? Will I be heavily penalised? I do 36 hours per week now-new job will be an extra 21 hours if I get it.
Thanks in advance

It depends on if the second job will bring you over the annual threshold.

What are your wages.

Bold Abdu

As above. Depending on the level of wages in your first job, some or all of your wages in the new job may be taxed at 20%.

You'd need to say what your wages are in both jobs. Are you married? Does spouse work?

5ive

Thanks for replies can work off the worst case scenarit of 20% tax and see if there's much to be gained - 32k husband self employed- new job basic wage or possibly less-haven't enquired further than seeing the ad.

wally1990

Assign / apportion your personal tax credits correctly between the two jobs

At the end of the year do a p21 balancing statement to recalculate your income and taxes and credits and any overpaid tax will be refunded

Any under paid tax will be due

If that is the case revenue generally reduce the tax credits for the next year to recoup

But ring revenue and assign the tax credits

threetrees

Ring the revenue with your estimated wages from each job and they will split the tax credits between the jobs.

The second job will pay the same as if you were earning those extra wages in your current job. Taxation is based on total income and doesn't look at the number of jobs you have.

doolox

I think there is a limit of 48 hours any one can do on a sustained basis and you have to report hours worked by you for one employer to the other.

I seriously doubt that any inspector will do anything about exceeding the limit because someone has to complain and I doubt you or any of your two employers will complain. Such hour counts can be clouded by holiday time, emergency work needed by the firm etc so are difficult to police, it is nobodys interest most of the time to do anything about exceeding the 48 limit on an individual basis.

Note that some companies frown on what is known as "moonlighting" working for another employer whilst employed by another. It might be wise to mention your work to each employer so as to get their clearance but that depends on conflict of interest and competition issues etc.

Best of luck in your jobs.

5ive

doolox wrote: »

Note that some companies frown on what is known as "moonlighting" working for another employer whilst employed by another. It might be wise to mention your work to each employer so as to get their clearance but that depends on conflict of interest and competition issues etc.

Thanks for this- hadn't considered mentioning anything because it would be on 'my own time'. Good to know ðŸ‘