HMRC, the government tax department, is giving £900 to workers with one code on payslip from Saturday, the department has confirmed (Image: No credit) Sign up to our free email newsletter to receive the latest
BREAKING news and daily roundups More Newsletters Subscribe Please enter a valid email Something went wrong, please try again later. More Newsletters We use your sign-up to provide content in ways you’ve consented to and improve our understanding of you. This may include adverts from us and third parties based on our knowledge of you. More info Thank you for subscribing! We have more newsletters Show me See Our Privacy Notice See Our Privacy Notice × Group 28 Sign up to our free email newsletter to receive the latest breaking news and daily roundups Invalid email Something went wrong, please try again later. Sign Up No thanks, close We use your sign-up to provide content in ways you’ve consented to and improve our understanding of you. This may include adverts from us and third parties based on our knowledge of you. More info × Group 28 Thank you for subscribing! We have more newsletters Show Me No thanks, close See our Privacy Notice HMRC has explained the payslip tax code which means you will £900 from Saturday (April 6). Tax department HMRC has confirmed it is giving £900 to workers with one code on payslip from Saturday. Workers across the country will see another two per cent taken off the amount they lose from their payslip following changes to National Insurance. The NI changes were confirmed by Chancellor Jeremy Hunt in the Spring Statement and Budget. National Insurance contributions will be reduced from 10 per cent to eight per cent after a cut from 12 per cent to 10 per cent in January. Mr Hunt confirmed the move, set to affect 27 million workers, on March 6 as part of his Budget in the Commons, BirminghamLive reports . Read next: DWP could pay over 66's up to £3,900 a year amid cost of living crisis Read next: People with 25 gut-related health issues could get up to £737 a month in PIP payments Workers on tax code 1257L will see an average of between £200 and £750 extra in their pay packet from April 6, depending on their earnings. 1257L is the standard tax code for most workers are, but it can be changed if you have overpaid or underpaid tax. If you have NT on your payslip, you won't get £900 this year. This is because you haven't met the £12,570 threshold yet and aren't paying tax on your income to get tax back. The policy's aim is to reduce the rate of National Insurance contributions paid by employees between the Class 1 primary threshold and upper earnings limit. It also aims to reduce the main rate of Class 4 National Insurance contributions paid by self-employed people between the lower profits limit and upper profits limit. The government explained: "As a result of this measure, an average employee on £35,400 will receive a tax cut of over £450 per year from April 2024. An average self-employed person on £28,000 will see a tax cut of £310 a year and over 2 million individuals will benefit. Actual impacts for individual taxpayers will vary according to individual circumstances." Story Saved You can find this story in My Bookmarks. Or by navigating to the user icon in the top right. Follow CambridgeLive
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