Tax Codes Explained 2024/25 | You NEED To Know This
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- Опубликовано: 1 авг 2024
- What is a tax code and am I paying too much tax? Well a tax code is a combination of numbers and letters given to you to show HMRC how much income tax and national insurance you should be paying. A tax code shows the amount of tax-free income an employee should receive in a single tax year also known as their personal allowance. Anything earned above this amount is taxable.
00:00 Intro
00:25 What Is It
03:06 Updating Tax Code
04:51 Emergency Tax Code
06:20 Conclusion
Use the links below to aid your understanding:
Understanding different codes:
www.gov.uk/tax-codes/what-you...
Update your code:
www.gov.uk/tax-codes/updating...
For more information or any help, contact me via:
Instagram - @iMentor__
Email - iMentorHelp@gmail.com
For questions regarding tax codes, call HMRC on 0300 200 3300. They will explain everything you need to know taking into account your personal circumstances.
Thank you very much for making this video. Such a big help
No problem!
Great video. Thank you!
Keep it up bro it is a best and easy way to explain
Chettan supperaaaa❤
Hi i am doing 2 different jobs, one of it got 415L M1 ( part time ) and latter one got 778L M1 (Main income ).The part time job tax code is keep changing every month whilst the other is same from last 3-4 months. So why is am paying higher tax every month on my part time job ?
i have amount in west heritage bank 4527$ they need tax code for withdrawl the amount in my local bank what i do now to withdrawl amount
Hi, im 17 and have been getting taxed when i shouldn’t be.
My tax code right now is BR. Long story short, hmrc didnt know i was working so the problem lied with me employer.
My employer is now asking me what tax code it should change to but i have no special knowledge about tax codes or what to change them to.
Is there a specific tax code for 17 year olds that dont earn above the threshold
Normally the code would be 1257L for this situation. However I would recommend you ring HMRC and ask ask they will be able to explain properly and help for your specific circumstances.
0300 200 3300
I do a bit helping out if my old campany needs a driver my tax code is 118LX ??
What tax would be paid for any work i do for him ?
Hi, This code is usually applied on a cumulative basis. That means that your tax position is recalculated each pay day using total pay to date and free-pay to date during the tax year. As a result, variations in income between months are averaged out.
Hi, what does tax code 1022L means? I have only one job
If I’ve got two jobs one paying 1257L and another BR tax code I’ve been paying BR since 2021 will I ever get back the tax ever ?
What does 2447L mean ? Before it was 1257 i dont know why it changed
OT w1 tax code willing change to normal automatically?
It will change when HMRC receive more information about your salary
Thansk iMentor... got an earlier job and my tax code was 1257l, resigned and got a new job and the tax code changed to BR, and the thing is i am now been taxed way more than the job i resigned from.....what could be wrong???
Hi, it’s most likely they are just confused at how much your earning. Did you give a P45 slip to your new employer? (You should have got one from your previous employer).
They usually use the code BR (Basic Rate) when they are unsure of your situation. You can always give HMRC a call on the number in my pinned comment. They’ll help you out!
What doe tax code BR/0 mean? I am retired so I do not have an employer to speak with.
I haven't worked for 9 years since coming out of college because I couldn't get the job I wanted, so I recently started at tesco and have been given the tax code OT, what does this mean
OT is an emergency tax code that HMRC attaches to your salary if they don't have enough details to figure out how much tax you should pay. You will currently have no Tax free allowance and so you should contact HMRC to give them more details about your job.
9 years?? What have you been doing in that time.
Does the emergency tax code change or how do I get it changed I have a p60 from my old job.
It changes when HMRC get more information from your employer or you. So you can call them on the number in my pinned comment.
Thank you so much for answering! Appreciate it!
Hi, I have worked in company A （full time）for a week then I resigned. 1 month later I entered company B（part time）. Is company B regarded as my second income？
Hi, as you were not earning Company A salary for the same time period as Company B, then it would not be classed as second income as you resigned from company A. A P45 from your employer would confirm this and show that Company B salary is now primary income.
@@imentor__ However, I have not gave P45 to my employer, and HMRC classed Company B as my second income. The HMRC does not have an email address, how can I submit P45 to HMRC?
I recommend that you call them. See:
www.gov.uk/government/organisations/hm-revenue-customs/contact/income-tax-enquiries-for-individuals-pensioners-and-employees
@@imentor__ Thank you very much for your information and advice☺️
hi, what does tax code S255 mean？Is that I do not have personal allowance？
Hi, depends on your personal situation but its basically a rule that says you don't have to pay income tax on some work-related expenses and benefits.
Do u know about tax code 154L
Hello, my tax code has been changed from 1257l to 439t at this new job and I’m getting taxed more now please help
The letter ‘t’ would suggest that HMRC think you have 2 incomes. I would suggest you call them from the number in my pinned comment.
Hi sir, I came this country 17 th November2023... And I am joining 2 places as chef.... But here joining my tax code change 1257L(first week salary) to 1203L WK1(after all) now P60 came another tax code 1203L W1(P 60)...If you know.... Why like that.... HMRC Call but no response... Before job place I ask P45... Still not come.... Pls what is difference....
i have tax code on my salary slip OT NONCUM so can i correct it
This is an emergency tax code, you should call HMRC to correct it
Hi, I have 1221L tax code but I don’t really understand why I have this code
Hi, 1221L looks like HMRC have taken an amount off your personal allowance to collect a bit more tax from you which could be for a number of reasons. Therefore probably best to call them and ask. The number is on my pinned comment :)
@@imentor__ I will thank you
Hi
How long should someone be on an emergency tax code ( BR) ?
I have been on since Oct 2021 ....
( I have contacted HMRC numerous times and update with p45 and p60 )
Thanks
Hi, normally the emergency tax code will stay in place until the end of the tax year or until your employer receives the correct tax code.
In your case I would question them why you still have this code despite your efforts to provide the correct documents.
448T / M1 what is mean ?
Hi
My Tax Code is1257L
Weekly 50hrs i have allowed but i earn 47.5hrs acrul half hours they deduct i dnt understand how many % tax they deduct kindly can u clear me thanks
What does a W16 Tax means?
Hi, is that the whole tax code?
Hi there
Can you please solve my problem as I am student I can work only 20 hours but I am working in 2 agencies at same time but I maintain my hours. Can you please tell me that will I have to pay tax or anything else to do with this situation?
Hi, if you are earning over the tax threshold for both jobs (£12,570 for 2023/24) then you are required to pay tax. This will either be through your agency employer or you will have to do a self assessment.
@@imentor__ thank you for your reply
I actually earn nearly 200 per week (20 hours restrictions) with 1257L (no tax and NI) now my earnings is still same but with two different companies this time. So I actually want to know will they cut any tax or should I have to work with only one company?
@@imentor__ I actually confused about taxation system so I came through your video .
@sharangill8571 No problem! Do you work 20hrs per week for both? So 40hrs all together?
@@imentor__ no no only 20 hours e.g 12 hours in one company and 7 hours in second company
Hi
What does an X mean next to an M on the tax code ?
Hi, is it MX or XM?
One wage slips shows 1257L/X and the next lot of 3 wage slips show 1383M/X what do they both mean?
X is usually used as an emergency tax code when HMRC are not sure what code to apply.
L is your personal allowance.
M is usually assigned for Marriage allowance.
So depending on your circumstances it can mean a multiple of things. I recommend you call HMRC as they will explain it exactly. Best number to call is 0300 200 3300
@@imentor__ yes my husband had 2 jobs for the month of May, but now as of June only has one job so it's just little confusing. Yes maybe better to call HMRC and clarify and ensure correct tax code is applied. Many thanks for you video and also your prompt replies much appreciated def will be subscribing to your channel very informative info. Hope to refer to future videos for any tax queries.
No problem! As your husband had 2 jobs in one month, that will explain the confusion and the emergency tax code they applied. Hope your call with them clarifies it.
What those tax code 511T means.
Hi, a "T" at the end of a tax code usually means that HMRC has applied a restriction on the personal allowance that you are entitled to receive.
How do I get tax code on my payslip there is no code.
You can find your Tax code online or in the HMRC App. See link below:
www.gov.uk/check-income-tax-current-year
Thank you so much much appreciated. Hopefully once I have made an account. I will get a tax code. As they have taken alot of tax from my first payslip.
If you have any problems, give them a call.
I will do thank you. Once I get the code I can give the tax code to my employees. Hopefully get the money back they taxed.
88T what's the meaning of this code, please response??????
Hi, a T usually means you do get a personal allowance, which is dictated by the number before it. However, it also means your tax affairs need to be reviewed by HMRC as they are still unsure how much you should be correctly taxed. I recommend you call them.
Taking away your income from your allowance?
I think you said it wrong. It should be taking away your allowance from your income leaves you with 3000.
I came here to clear my tax confusions just to know that this video confused me more.
My tax code changed to 988L from 1257L..pls is there any reason why this happened?
This means your personal allowance has increased to £12,570. This is the normal tax code for most people.
@@imentor__ it is now 988L but was formerly 1257L..my question is what may have caused the change to 988L from 1257L
So essentially the opposite. Your tax allowance is now £9888. It can happen for a few different reasons. Most of the times due to workplace benefits that reduce your allowance e.g. Private Medical Insurance. Your specific situation may differ.
Ive got K885 what is mean?pay about 40% tax now..
Hi, Tax codes with 'K' at the beginning mean you have income that is not being taxed another way and it's worth more than your tax-free allowance.
Usually have this code when you owe tax from a previous year or you have benefits that you need to pay tax on.
@@imentor__ gifted money is being transferred could be this a problem?
Is this personal gift money or a company gift money?
@@imentor__ personal
My taxcode is 0, What does it mean?
Hi, is it followed by a letter, or just a 0?
What L mean in tex code
Hi, ‘L’ just means that you ate entitled to the standard tax-free Personal Allowance
Hi my tax code 1257L but today i show it’s changed to 1189Lx
So what should i do
Same here
1198LX is mine
@@spencerosei2616 it will lbe any problem?
K77 ??
Loved the vid. I have a question that you may, hopefully, be able to answer. I used to have a married allowance 13?? something which included a 10% from my non working wife's allowance. Then I got divorced and it changed to 1257M1 22/23 (for the entire year) which I assumed was the single persons allowance. I have just noticed that for the entirety of 23/24 year it was 1152L. Could you shed some light on why I now don't seem to have my full tax allowance? Thanks