Frequently asked questions on Tax and National Insurance

Tax

Do I get taxed if I’m a student?
Most students do not get taxed, because they do not earn enough taxable income. However, this does not mean that students are exempt from paying tax. Depending on the tax code someone is on, they will be taxed at different rates. Students are usually put on a cumulative tax code, which means they can earn a certain amount before being taxed.

What are the different tax codes?
There are two types of tax code – Cumulative, and Basic. The Basic Rate tax code (BR) means that a person is taxed 20% of their earnings. The cumulative codes (603L/1 and 603L) mean that a person can earn a certain amount before they are taxed. 603L/1 means that a person can earn up to £503 every month without being taxed, and only the income that exceeds that will be taxed. 603L is very similar, but is calculated based on a yearly income rather than monthly. As the tax year runs from April until March, the amount of non-taxable income is increased every month from the start of the tax year. For example: in April you could earn £503, in May this would increase to £1006,in June £1509 and so on

How do I get onto the correct tax code?
Most people are put onto the BR tax code if they have not submitted the correct paper work. By submitting a P45 form from a previous job, or filling out a P46 form, a person will be put onto the correct tax code for their circumstances.

How do I get my tax back if I was on the wrong tax code?
If someone is initially put onto the BR tax code, but is then changed to a cumulative code then they can be refunded if they have paid too much tax. If the person is still employed in the same job, then the tax refund will automatically come through along with their pay. If they are no longer set up through a payroll system, then they can claim back the tax by phoning the Tax Office on 08453021443.

For more information on student tax click here 
The HMRC Facebook application is for students to estimate whether they're eligible for a tax refund, and, if so, how much.

National Insurance

Who needs a National Insurance number?
If you are working, or planning to work, in the UK then you will need to have a National Insurance number.

How do I get a National Insurance number if I work on campus?
If you have secured a job on campus, you can apply for your NI number by filling out and sending off a Fast Track form. These are available from the JobLink office (1E 3.11). Your NI number will then be sent to you in the post after a few weeks.

How do I get a National Insurance number if I work off campus?
If you are working off campus you will need to phone the National Insurance helpline on 08456000643 and arrange an interview. The nearest interview centre is in Bristol. It is likely that you will need to take some form of proof that you are either working or looking for work to your interview e.g. Payslips, Contract, Application forms, proof of membership to a job agency etc. You will be given further details of these when you arrange your interview.

Can I only get a National Insurance number if I have a job?
Some people try to apply for NI numbers in order to open a bank account, and not because they are looking for work. But, to apply for an NI number you need to show that you are hoping to work. However, you only need to provide evidence that you are looking for work, so it is not important to already have a job. This proof can be an application form, but you would not have to show a rejection letter, so the interviewer would not necessarily have to know whether or not you had actually submitted any forms.

Do I have to get my National Insurance number before I can start my job?
No, you can start working without an NI number, but it is best to apply for one as soon as possible if you are working, or planning to work.

What do I do with my National Insurance number once I have it?
Once you have received your NI number make sure you tell your employer what it is so they can update their records. If you are working on campus then please bring your NI number to the JobLink office (1E 3.11)