Tax on a 2nd job?, is it done in addition to ur 1st job then at tax time you go off total money earned i guess

Question

tax on a 2nd job?, is it done in addition to ur 1st job then at tax time you go off total money earned i guess.

I though it was something liek 65% of your 2nd job went to tax.

Not to sure at all.

Would i be correct it goes on your total ammout for the

Finacial Year then with the corresponding tax bracket.

At least that how i hope it works. If it matters i use

Pay as you go tax on the 1st job and prolly will on the 2nd.

Thanks for your time...

Answer 1

Go to this link

it is from the taxation department and explains all ...

http://www.ato.gov.au/individuals/conten...

Answer 2

Okay, it goes something like this.  Your first job is taxed normally.  On your Australian Taxation Office (ATO) paperwork you would have had a question asking if you would like to claim a tax-free threshold.  For your first job you need to select 'yes'.  For your second job you need to select 'no' for the same question as you can only claim it for one job only.  This means that you go into a higher tax bracket.  Firstly because everyone gets a certain amount of pay tax free each year (which i think is about the first$6000 you earn in the financial year ).  Even though in your second job they are taking more out in tax each week it will even itself out at tax time.  If you earned $3000 gross in your first job and $2000 gross in your second job then you will get back everything you have paid in the whole year.  Earning anything up to the $6000 gross with both jobs combined means that you will get everything back.  If you earned $5000 in each job that means you earned $10000 for that year.  At tax time they will work out how much tax you should have paid on $10000 regardless of which job you earned it with. (the first $6000 you get all your tax back and then they work out the tax on $4000) They take a lot out of a second job as they class the earning from that job the same as overtime with a single job.  They prefer to take more out and give money back at the end of the financial year as a lot of people would have spent the money and then would not have it to pay the ATO at tax time.  So even though you feel like you are not earning much at your second job, it will work out well for you when you get your tax done.

Answer 3

Further to what Elle has said, for every dollar earned above $6000 until you have earned $25000 the tax liability is 15 cents for each dollar. For every dollar earned above $25000 the tax liability is thirty cents up to income of $75000. For every dollar earned above $75000 and up to $150000 the tax liability is 40 cents. For every dollar earned above $150000 the tax liability is 45 cents. Your employer at your second job would have to take tax out at the rate of no less than 45 cents for every dollar earned. Some time ago the Australian Taxation Office instructed all employers to withold 50 cents for every dollar paid to anybody who did not disclose a tax file number and sign a declaration that the job with the employer was their first job.

Answer 4

The person above me is correct but the short version is that yes they combine them. So it's good to pay more tax on the second job just in case you earn alot to be safe and that way if you overpay you will receive it back