working whilst on terminal leave

[briggfairy]

I'm sure this has been done to death but I thought I'd ask afresh incase anyone has found any new loopholes, I currently considering two job offers, (after bringing my termination date forward and clearing from the mob last week), both of the prospective employers would like me to start asap which I would be very keen to do however as I wont have a P45 will I just have to accept going onto an emergency tax code until the P45 comes through?, if so has anyone got any kind of experience as to how much extra this code will hammer me for? if my maths is correct I should be just under the higher tax rate even with the extra pay if that helps.

I understand that in the past some people have negotiated that their pay for this period is deferred until a later date as some kind of golden hello however I am curious as to whether or not the tax savings for doing so are actually worth the hassle?

any advice would be helpful

 

[Gonterseed]

I'm not sure if the rules have changed since I left in the 1980's but I started work on the first day of resettlement leave. As for being paid, I wasn't up for any paperwork or other possible hassle with the RAF so I arranged for a "golden hello" to be paid once the leave period was up. The other thing to make sure is that your company pension doesn't commence until your RAF one finishes (two pensions are not allowed for tax purposes).

P45's don't matter these days, SOME INFO HERE basically your new employer can use your last payslip to calculate "emergency tax" and then once the official P45 roots it's way through the system they'll adjust accordingly. Do bear in mind though that any underpayments you make are not a bonus!. If you don't pay enough and you are not in a position to beat the system, you have to pay any tax not collected regardless of who fcuked up.

 

[norfolkred1]

Totally agree with the above post, The first you want to do is check and confirm your TAX code. Had a few mates get stung by the TAX man because of a wrong TAX code on demob. I had a similar problem when the Company took it on themselves to dictate my TAX code without taking my pension into consideration, I rang the TAX man and he confirmed I owed him a few hundred quid, 'I know it's not your fault but you have my money and I want it back' came the reply.

 

[Keyser Söze]

You're right it has been done to death so please have a look around the site. However to answer your question. The RAF's stance on this subject is that you CAN NOT receive normal paid work during RESETTLEMENT LVE. You CAN receive normal PAID work during your TERMINAL LVE. There's a difference ,,,so do some research on your entitlements to both.

the RAFs position is IIRC based upon insurance, apparently if you're injured the RAF pick up the tab during resettlement leave since it is considered a "duty". ( I think that is total BS however since the reality is that no serviceman is 'insured') From my experience however, HMRC don't give a stuff how many jobs you're working all they care about is you pay the proper tax. You will probably be given the standard TAX code by you're new employer.

I would nt get too het up about it ,,, I worked throughout my whole resettlement period got paid by 2 employers ,,, took home a big wedge of cash ,,, then at the end of the tax year HMRC said 'dear KS, you've under paid your tax' and gave me a bill,,,, I wrote them a fat cheque for the amount I owed....simples. Even if you're not able to pay the amount outstanding in a oner they adjust your tax-code the following year to ensure they get their pound of flesh..


good luck in your new job

 

[Rigga]

In actual fact, once you have walked out the gate the RAF wont give a monkey's what you do.

You can work where you like and only the Tax man will want to know what you're doing.
Once you are out and settled into the job of your choice send the tax office a written request to confirm your tax code and give them details of where youve worked since handing in your ID. They will sort it out.
Be honest with them and they'll be honest with you.

Have a good second life
Rigga

 

[briggfairy]

thanks for all the advice guys, just as I thought honesty seems to be the best policy! I'm looking forward to starting my second career, I am genuinely surprised that with all the opportunities out there some people seem happier to stay in and whinge!

 

[busby1971]

thanks for all the advice guys, just as I thought honesty seems to be the best policy! I'm looking forward to starting my second career, I am genuinely surprised that with all the opportunities out there some people seem happier to stay in and whinge!

And that's another thread that's been done to death.

Good luck on the outside

Sent from my Nexus 4