Revenue Job Assist

[micmclo]

Help appreciated, I have searched but I couldn't find info in past threads.

Was unemployed over 12 months.

Started a job September 2012 on 34k per year.

I have €1,650 in single person tax credits. That's it, I have nothing else to claim for.

Looking at revenue website it's:

€32,800 @ 20%, Balance @ 41%

I do a small bit of overtime but not much and I wouldn't be hitting the 41% rate on much of my salary

I gave my Revenue Job Assist form to accounts and they've completed and now I'll complete my section and sent it in to Revenue.
An extremly welcome €3,810 in extra tax credits.

My knowledge after this is zero

If I send it in now and we say it's applied from June payroll onwards is it:
3,810 divided by 7 months, Jun, Jul, Aug, Sept, Oct, Nov, Dec so about 554 per month in tax credits.

I pay around 600 euro per month in tax.

Just wondering what this means to my take home as I don't understand how tax credits work.


Thanks a lot for any info

 

[Mrs Vimes]

Well done on finding a job!

I think you should have PAYE credit of another 1,650 pa too?

When you send in the Jobassist form then a cumulative cert should issue so you will get 6/12 of the credit in June so should get a refund in your June paycheck! Get a review of 2012 done as well.

How tax credits work is this:
monthly: first 2733.33 @ 20%, balance @ 41% = 546.67+41=587.67
then subtract credits 137.50 = 450.17.

I think perhaps your figure of 600 per month is including PRSI/USC?

When you get your jobassist and paye credits your monthly credits figure goes up to 592 so you would pay no tax by my calculations!

 

[Black Sheep]

As you started your job in September it may be more beneficial not to go back to 2012 for a review as this is a 3 year programme. You can use 2013, 2014, and 2015 as the years, therefore using the maximum tax benefits (as they are full years).

If you already have a medical card you can retain it for the duration of the programme (3 years).

At the end of the 3 years you will be back on regular tax rates.

 

[micmclo]

Thanks a mill to you both

I think you should have PAYE credit of another 1,650 pa too?

I think perhaps your figure of 600 per month is including PRSI/USC?

You are correct, the PRSI/USC is part of that 600 also, forgot to mention that.

I may have forgotton a PAYE credit, if you say I have then I have

When you send in the Jobassist form then a cumulative cert should issue so you will get 6/12 of the credit in June so should get a refund in your June paycheck! Get a review of 2012 done as well.

How tax credits work is this:
monthly: first 2733.33 @ 20%, balance @ 41% = 546.67+41=587.67
then subtract credits 137.50 = 450.17.


When you get your jobassist and paye credits your monthly credits figure goes up to 592 so you would pay no tax by my calculations!

A refund? Huzzah!

That's great, I was not sure how it would work.
I want to apply it for 2013 and didn't know would they backdate it from Jan-May and issue a refund and then apply it from then on ........or if all the credits get applied for the rest of the year.

I'm happy it's your way

As you started your job in September it may be more beneficial not to go back to 2012 for a review as this is a 3 year programme. You can use 2013, 2014, and 2015 as the years, therefore using the maximum tax benefits (as they are full years).

If you already have a medical card you can retain it for the duration of the programme (3 years).

Don't have a medical card, never had one but I'm aware then people on this scheme can keep theirs, thanks

You have good advice too, I get three years out of it and I only did a few months in 2012 so I'll apply this to 2013,2014 & 2015 to get the maximum use from it.

Thanks again, legends both!