Originally posted by scampi
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Reply to: P14 question
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Previously on "P14 question"
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completing form P14/p60
Hi , If you look at a copy of the manual form P11, (not sure how your computer program is actually set up), the boxes that need to be completed on the P60 are indicated clearly on the P11.
However, whilst tax is calculated on an accumulative salary, national insurance is not it is calculated on a weekly/monthly amount of salary. I would suggest for any problems go straight to the horses mouth and contact the Hm Revenue and customs helpline for employers.
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Originally posted by EchoSierra View PostThanks.
And as a follow-on, do these same figures then go onto the P60 for my employee(s)?
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Originally posted by Archangel View PostEarnings at the LEL = £390 month = £4680
Earnings above LEL up to ET = (£453*12) - £4,680 = £756
Earning above the ET & Up to the UEL (40044) = £18,997.93 - £5,436 = £13,561.93
Employee's contributions = £13,561.93 * 11% = £1491.81
Employer's contributions = £13,561.93 * 12.8% = £1735.92
And as a follow-on, do these same figures then go onto the P60 for my employee(s)?
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Earnings at the LEL = £390 month = £4680
Earnings above LEL up to ET = (£453*12) - £4,680 = £756
Earning above the ET & Up to the UEL (40044) = £18,997.93 - £5,436 = £13,561.93
Employee's contributions = £13,561.93 * 11% = £1491.81
Employer's contributions = £13,561.93 * 12.8% = £1735.92
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Think I figured it out.
For 2008/09
1a is £4680
1b is £756
1c is the remainder of salary £13561 (£18997 - £4680 - £756)
Employee NI is £13561 x 11% so roughly £1491.71
Employer NI is roughly £1,736.06.
Does this look right? Got the accountant working on this too so should be verified soon. Looking to get rid of him though so knowing this will help.
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P14 question
Hi,
On the P14 does anyone know how to work out:
1a - Earnings at the Lower Earnings Level (LEL):
1b - Earnings above the LEL, up to and including the Earnings Threshold (ET):
1c - Earnings above the ET, up to and including the Upper Earnings Level (UEL):
1d - Total of employee's and employer's contributions payable:
1e - Employee's contributions payable:
If my salary component (on which NIC is paid) is £18,997.93 what values go into 1a, 1b, 1c, 1d and 1e?
I can find out from sites like http://listentotaxman.com/ that Employer NI is £1,732.86 and Employee NI is £1,489.17 but don't know how these translate to 1a, 1b, 1c, 1d and 1e.
I have had a look at HMRC doc ca38.pdf but doesn't make a lot of sense to me.
If anyone can point me to a site or provide some advice on the formula for this it would be much appreciated.
Thanks in advance.
PS. Using National Insurance contribution (NIC) table ATags: None
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