My tax code is...
944L-W1 or 944L-M1
Nearly everyone is entitled to a tax-free personal allowance, which means that a certain amount of your earnings each year are paid to you without being taxed. If your tax code includes 944L, it means your allowance is £9440.
It is given to you in equal portions throughout the year according to your payment frequency. For example, if you are paid weekly, your allowance is equivalent to £182 per week.
Any earnings over and above your personal allowance will be taxed as follows:
- 20% on earnings up to £32,010
- 40% on earnings between £32,010 and £150,000
- 45% on earnings above £150,000
Having W1 or M1 attached to your code means it is a non-cumulative tax code. This can result in you overpaying tax, so you may wish to ask HMRC to clarify that it is the most appropriate tax code for you.
Find out how to change your tax code.
More tax codes:
Tax code resources:
Don't just take our word for it...
My pay advice slips were sent through on time and my payments credited to my bank account without fail. Claiming expenses is an easy stress-free procedure. To anyone seeking a sound, reliable umbrella company to administer their pay, then I unreservedly recommend Key Portfolio.
John Nightingale - supply teacher