The Student Room Group

Teach me how to "adult" - Taxes / University

I'm going to uni full time but I do plan on having several (legal) side hustles and saving a lot.
Please explain in simple terms... GCSEs / IB didn't cover this

1) How much HM Revenue needs? or how to calculate that..
2) When do they take it away? (One lump sum, in payments, automatically from employer?)
3) What is council tax? Is that any of my business?
4) What is a Tax Refund? Is that pay day?

I will be so grateful if you also provide links but don't feel obliged to.
Thanks.
Original post by shirlz2808
I'm going to uni full time but I do plan on having several (legal) side hustles and saving a lot.
Please explain in simple terms... GCSEs / IB didn't cover this

1) How much HM Revenue needs? or how to calculate that..
2) When do they take it away? (One lump sum, in payments, automatically from employer?)
3) What is council tax? Is that any of my business?
4) What is a Tax Refund? Is that pay day?

I will be so grateful if you also provide links but don't feel obliged to.
Thanks.


After 2 years at uni I couldnt tell you how tax works but generally if the whole household is students then you're exempt for paying council tax (if you're full time that is).
Reply 2
Original post by claireestelle
After 2 years at uni I couldnt tell you how tax works but generally if the whole household is students then you're exempt for paying council tax (if you're full time that is).


Thanks that's great then =D
Reply 3
1) How much HM Revenue needs? or how to calculate that..

Depends entirely on how much you are earning and how you are earning it. If it is a form of primary income from your wages or salary then it will be from income tax. Their are different bands depending on how much you are earning. If you are earning money from investments then you'll probably have to pay capital gains tax.

2) When do they take it away? (One lump sum, in payments, automatically from employer?)

If you are self-employed then it is your responsibility to inform HMRC of much you have earned in the last financial year. Can be done easily on-line. If you are an employee any taxes or national insurance payments should be deducted automatically from your wages through PAYE, although it is best to confirm this with your employer.

3) What is council tax? Is that any of my business?

It is a tax that goes directly to your local council/authority, based on the size/quality of your household you occupy. If you are a full-time student you just inform the local council about your status and they won't charge you council tax.

4) What is a Tax Refund? Is that pay day?

If you have overpaid HMRC, they'll give you back what they owe you. It is bloody glorious, feels like free money, even though you essentially worked for it :lol:

Quick Reply