CSLM10116 - FAQs: employers questions and answers: part time job. does annual limit still apply?
Suggested answer
Yes.
The annual threshold normally applies to each employment regardless of the number of hours worked.
If the borrower has another part time job then you should still use the figures in the HMRC Basic PAYE Tools (www.hmrc.gov.uk/paye/tools/basic-paye-tools.htm) or in the Student Loan Deduction Tables to work out the repayments, if any. Ignore any other earnings.
If the borrower has more than one job with you, and you lump the income together for NICs, then do the same for Student Loan deductions.
HMRC action
None.
Notes:
| 1. | A borrower with two or more jobs may, at present, pay less than the amount we would expect to collect by reference to the threshold. For example if the borrower had two jobs, each paying £9000 per annum then no deductions would be made by the employers. However, each employer has applied the legislation correctly. |
| 2. | No action will be taken to collect the apparent underpayment unless, for other reasons, the taxpayer has an SA record. In this case all income would be taken into account in the computation. |
| 3. | Do not set up an SA case just for Student Loans purposes. |
