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Hello! I've got a quick question about tax... I've been offered a job within my current company however I have a few concerns about the wage being offered... I currently earn about ?42k net, but this new job puts that at ?48k net (similar position to what I do now with a few added responsibilities. I was wondering what happens to my income when it goes into the higher tax band? Is all of it taxed at 40%? I've checked out this tax calculator but it only tells me what I will make, not which bands of tax I am paying, so I was hoping someone here can help?


Many thanks :)

PAYE tax rates and thresholds

2018 to 2019

Employee personal allowance

?228 per week

?988 per month

?11,850 per year

UK basic tax rate

20% on annual earnings above the PAYE tax threshold and up to ?34,500

UK higher tax rate

40% on annual earnings from ?34,501 to ?150,000

UK additional tax rate

45% on annual earnings above ?150,000


Different rates apply for Scotland,


More info..


https://www.gov.uk/guidance/rates-and-thresholds-for-employers-2018-to-2019



DulwichFox

brookeb Wrote:

-------------------------------------------------------

> Hello! I've got a quick question about tax... I've

> been offered a job within my current company

> however I have a few concerns about the wage being

> offered... I currently earn about ?42k net, but

> this new job puts that at ?48k net (similar

> position to what I do now with a few added

> responsibilities. I was wondering what happens to

> my income when it goes into the higher tax band?

> Is all of it taxed at 40%? I've checked out this

> tax calculator but it only tells me what I will

> make, not which bands of tax I am paying, so I was

> hoping someone here can help?

>

> Many thanks :)


You'll never lose through an increase that way - also a reduction in NI at some level around there


Between Primary Threshold and Upper Earnings Limit

12%

Above Upper Earnings Limit

2%

Upper Earnings Limit (UEL)

All employees pay a lower rate of National Insurance above this point ?3,863 per month

Think you're being spammed guys, the likelihood that someone intelligent enough to be on ?48k couldn't work this out for themselves, or wouldn't ask someone at work about it, is zero. The fact that they only joined the forum to ask this question is a bit of a giveaway too. It's just trying to make you go to the linked page.


ETA reported

LOL, no one spotted that they mention ?42K NET to ?48K NET... By definition, net means AFTER tax, so clearly they would be ?6K better off after tax, so they wouldn't have to ask the question in the first place!


Agree with RendelHarris about it being a spam...or possibly an experiment...


But to answer the OP's question, No don't take it ;)

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