Income

I was checking my bank this morning to make sure my wages had gone in when I noticed my occupational pension payment for the first time in months.

I'm notified by them in March what it's going to be for the next year but I don't normally check this regularly.

It seems that I've been getting slightly less than I was told by the BBC.

I realise that I'm taxed on this of course and I appreciate that the taxman varies the amount normally through the year.

I'm wondering why I'm down now because I was notified of my new Tax Code in January for the current tax year and, working it all out then, I would have been up by about £15 per month; not much really and it doesn't even cover inflation but it was better than nothing.

However, my employer also pays me less now because of the increase in National Insurance in 2013 so now my income total of work and pension is almost £5 per month less than it was in April 2013.

Some people may say "it's only pennies" but it isn't is it - it's about £60 per annum, or 4 month's worth of my so-called increase in income last April - that's not pennies in my book.

I keep detailed lists of income and expenditure on spreadsheets and have done since 2008 but this is the 1st time I've noticed a drop in net income over the course of a year.

Anyone else noticed the same with their actual net income? stevmk2

Re: Income

How does the BBC know your personal details?

It's the Dept of Work and Pensions that you should be dealing with.

Re: Income

You have to look back to last year's tax code matey, since the financial year runs from 6th April to 5th April the following year. Consequently, although you've been notified of your new tax coding, this doesn't apply until the new tax year begins on 6th April.

Re: Income

I get my BBC Pension now Pats!

I did say occupational pension - nothing to do with the DWP!

I'll explain it all a bit better shall I?!

Joe,

Last January, (January 2013), the BBC told me what my BBC Pension would be, per month, as of April 2013 and for months that's what I got, to the penny, and it was confirmed, also in January, by the Taxman telling me what my Code would be for my 2012 - 2013 BBC Pension.

Now I seem to get less than the figure stated by the BBC in January 2013 - OK, it's only pence but it still adds up - and it has been like that for months now, despite my Tax Code still being the same.

I've got the right Tax Code on my payslip and it's the correct adjustment at BBC Pensions.

Add to that the fact that NI went up last year and I still seem to have lost about £60 per year from my combined income of work and BBC Pension.

What I'm saying is that, due to Taxation and NI Increases, I'm out of pocket by £60, which is in effect about 4 months-worth of what I was better-off by in April 2013!

Maybe others don't scrutinise their income to the depths that I do or query the Taxman as I do on a regular basis but maybe others are getting the same thing happening to them too?

Multiply that by the Millions still paying NI plus this discrepancy of a few occupational pension pence less to more people and you have quite a large figure don't you?

I mean, it's obvious isn't it?

If I'm down by about £60 p.a. then 10 people could be down by a total of £600 and 100 down by a total of £6000 and 1000 down by £60,000 and 10,000 people by £600,000 and so on so where is this money going? stevmk2

Re: Income

Cameron wants some more Trident missiles matey.

Re: Income

Today I've received by Notice of Coding for 2014 - 2015 from the Taxman - odd coincidence!

They have now decided to remove my tax allowance from my occupational pension completely.

They'll taking 20% of that off me from Apriil but the good news is that they've increased my Tax Allowance on my part-time earnings so I am allowed to earn £1.39 less per month before Tax than I actually get, so I'm assuming that they may not bother deducting 20% of £1.39 - but you never know!

I've sat down again to work out what our 2014 - 2015 income will be and I've worked out that roughly we would have been almost £20 per month better off it it hadn't been for the Water going up by £10 per month in March!

Depressing stuff but better to know now and be prepared I think! stevmk2

Re: Income

They will tax you on that small amount, they taxed me on 50p a month I was paid over my code which must have cost them money to collect so seemed rather mad I thought.

Re: Income

Forlorn hope dashed Julie!

We shall see.......

As a matter of interest, in the Tax year 2011 - 2012 I told them that I thought they'd miscalculated my Tax Allowance, sent to me in January of 2012.

They said No, they were correct but in March 2012 they refunded almost exactly the amount I'd told them in January that I thought they'd over-charged me.

Keep the b******s on their toes is my motto. stevmk2

Re: Income

I am pleased to say that all my superannuation pension is tax free (and doesn't count toward taxable income) and because I am over 65 my tax threshold on any other income is somewhere around the $30000 p/a (£15000) so it is unlikely that I will ever pay tax again.

However it is counted when they means test my Federal pension rights so I only get a part pension ($540 instead of $827 per fortnight)

The only reason I put in a tax return is to claim back the tax already paid on my fully franked share dividends.

Personally I think UK pensioners are very badly done by.

Re: Income

Tell us something we don't already know Bruce matey. That has been true for decades.