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Posted Sat, 13 Apr 2024 15:11:32 GMT by Chiara Gambi
Hi, I need to calculate my adjusted net income for the purpose of determining whether it is over £50,000. I think I understand what needs to be added up (i.e., what is taxable income), but I have two questions: -I pay contributions into my exployer's pension fund before tax (i.e., they are not included in my taxable pay), so I understand I need to subtract £1.25 for every £1 of pension conributions. Is this correct? -I can use my P60 to determine my total employment income for the tax year, but how do I work out the pension contributions in the tax year? Do I just use the payslips within the tax year? So for example, for tax year ending 05/04/24, I would include the payslip from April 2023 but NOT the payslip for April 2024? ((I get paid at the end of the month) Many thanks
Posted Tue, 23 Apr 2024 08:51:26 GMT by HMRC Admin 25
Hi Chiara Gambi,
If your pension contributions are taken from your net pay then yes you can deduct the grossed up figure from your income.
The grossed up income will be the contributions x 1.25.
The contributions will be from 6 April 2023 to 5 April 2024. 
Thank you. 

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