I left Company 1 on the 22nd of September, 2022
My salary at Company 1 was
My P45 states that my:
Total pay to date (at the time) was:
Total tax to date (at the time) was:
I joined Company 2 on the 26th of September, 2022.
- My salary at Company 2 is now
- I work 5 days a week, 09:00 until 17:30 (incl. unpaid hour lunchbreak).
- I was auto-enrolled on my pension scheme and contribute 5% on a relief at source basis
- My tax code is
- I get paid monthly at the end of the month but in this case, I need to work out my gross/ net pay for just 5 days.
Therefore I need to calculate what my gross pay is, what my deductions are and how much my net pay is after this.
I have attempted to work this out myself but I think I'm not in the right ballpark at all with my figures.
The calculation I used is as follows
Daily Gross Pay:
£55,000 / 260 working days in a year = £211.54
Gross Pay (September):
£211.54 * 5 = £1,057.69
Tax bands for that month:
- Basic rate:
20%for income between
- Higher rate:
40%for income between
Since my annual salary is
£55,000, I should be taxed at the basic rate of
20% for the first
£37,700 and at the higher rate of
40% for the remaining
Given that I've already used up my personal allowance during my previous employment at Company 1, my September taxable income would be equal to my gross pay for the month:
So, to reiterate, my Taxable Income for September is:
If not, my Income Tax for September should be:
20% * £1,057.69 = £211.54
As for the National Insurance contributions for September, I'm not sure if I'm working this out correctly.
Checking the government website, I can see that the Employee National Insurance rates are: Category letter A:
- £123 to £242 (£533 to £1,048 a month) = 0%
- £242.01 to £967 (£1,048.01 to £4,189 a month) = 12%
- Over £967 a week (£4,189 a month) = 2%
Since my weekly earnings for September are
£1,057.69, my NI contributions for September should be:
Weekly NI Contributions (September):
13.25% * (£1,057.69 - £242) = £108.07
(using 13.25 because we had a 1.25% increase during that period until November 2022)
In summary, for the month of September, I would pay:
But is this correct? I'm not even sure how to calculate my pension + student loan (Plan 2) in this case. Would really appreciate some help in working this out as I'm at my knowledge limit with this and would really like to be able to work this out on my own in the future!
The goal is for me to find out how to calculate this properly so that I could apply this to my future (monthly, not weekly) payslips, to ensure everything is fine.