Published On: Fri, Apr 5th, 2024

Exact HMRC payslip taxcode that will show your £900 wage boost from Saturday | Personal Finance | Finance


A special payslip tax code shared by HM Revenue and Customs (HMRC) could mean you’re set to receive a £900 boost from Saturday.

The government’s tax section is preparing to give a money uplift to employees who have a specific code on their wage slip, starting this coming Saturday.

This action is part of the changes being made to the National Insurance contributions scheme. Workers will notice a two percent drop in the amount taken from their salary.

This move was earlier announced by Chancellor Jeremy Hunt during his Spring Statement.

National Insurance payments are going down from 10% to 8%, after an earlier drop from 12 percent to 10 percent in January. On March 6, during his Budget announcement in the Commons, Hunt reassured us of this change, which will affect 27 million workers, reports Birmingham Live.

From April 6, workers with the 1257L tax code can look forward to an extra £200 – £750 in their pay, depending on how much they earn. 1257L is the usual tax code for most workers, however, it can be altered if you have paid too much or too little tax.

If ‘NT’ is shown on your wage slip, unfortunately, you won’t be getting the £900 cash this year. This happens because you haven’t earned sufficient amount to pay tax yet, as explained by Birmingham Live.

The government is focusing on reducing the amount of National Insurance that workers and self-employed people contribute. They state: “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.”



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