The salary in a job advert will be the amount before tax and national insurance has been taken out.
Taxes are taken out automatically here too. We don't have to fill in anything at the end of the tax year (which runs from 1st April to 31st March rather than from Jan-Dec like just about everywhere else in Europe), the Inland Revenue/Her Majesty's Revenue and Customs (which is the government department that deals with taxation and is usually abbreviated to IR and HMRC) sort it out and if they owe you money they will refund it straight back into your wages - this is often very very slow. If you need to pay them more tax they send you an invoice and you can either pay it in one lump sum or if it's a lot spread it out over the year by them collecting slightly higher tax from your pay each month until it's paid back.
National Insurance is also taken automatically.
Tax is paid on all earnings over £9440 at a rate of 20% so if you earned 20k you'd pay tax of 20% on £10,560. So the year's tax for a 20k job would be £2212.
If you earn over £32k you pay 20% on everything between 9440 and 32011 and everything over 32011 at 40%. People who earn more than 150,000 a year pay 50% on everything over this.
Most people in the UK don't earn enough to pay anything other than the basic 20%. Out the 30 million people currently working in the UK only 4 million of them earn over 32k. According to government stats on higher rate tax payers.
Anybody earning under 9440 a year doesn't pay tax. Anybody earning under 5660 a year doesn't pay national insurance either.
I mostly know these figures because I work for the local council pension fund, so we deal with this sort of stuff. Generally though you don't actually need to know how any of it is deducted as it all gets done for you. Although it's occasionally worth checking that the figures look right as HMRC have been known to get it wrong sometimes.
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branchandroot
no subject
Date: 2013-08-22 09:22 pm (UTC)Taxes are taken out automatically here too. We don't have to fill in anything at the end of the tax year (which runs from 1st April to 31st March rather than from Jan-Dec like just about everywhere else in Europe), the Inland Revenue/Her Majesty's Revenue and Customs (which is the government department that deals with taxation and is usually abbreviated to IR and HMRC) sort it out and if they owe you money they will refund it straight back into your wages - this is often very very slow. If you need to pay them more tax they send you an invoice and you can either pay it in one lump sum or if it's a lot spread it out over the year by them collecting slightly higher tax from your pay each month until it's paid back.
National Insurance is also taken automatically.
Tax is paid on all earnings over £9440 at a rate of 20% so if you earned 20k you'd pay tax of 20% on £10,560. So the year's tax for a 20k job would be £2212.
If you earn over £32k you pay 20% on everything between 9440 and 32011 and everything over 32011 at 40%. People who earn more than 150,000 a year pay 50% on everything over this.
Most people in the UK don't earn enough to pay anything other than the basic 20%. Out the 30 million people currently working in the UK only 4 million of them earn over 32k. According to government stats on higher rate tax payers.
Anybody earning under 9440 a year doesn't pay tax. Anybody earning under 5660 a year doesn't pay national insurance either.
I mostly know these figures because I work for the local council pension fund, so we deal with this sort of stuff. Generally though you don't actually need to know how any of it is deducted as it all gets done for you. Although it's occasionally worth checking that the figures look right as HMRC have been known to get it wrong sometimes.