Tax on Second Job (UK)

When you have multiple jobs, HMRC needs to ensure you don't use your Personal Allowance twice. To prevent this, your Personal Allowance is applied to one job (usually your main job), and your second job is taxed without the benefit of the tax-free allowance.

How tax works with a second job

Personal Allowance on main job

Your Personal Allowance is applied to your main job, which means you can earn up to the Personal Allowance amount from that job before paying income tax. Your main job will have your standard tax code (usually 1257L).

Basic rate tax on second job

Your second job will typically have a BR (Basic Rate) tax code, which means all income from that job is taxed at 20% from the first pound, with no tax-free allowance. This ensures you don't get the benefit of your Personal Allowance twice.

Total income determines tax bands

Your total income across both jobs determines which tax bands you fall into. If your combined income from both jobs pushes you into a higher tax band, you'll pay the higher rate on the portion above the threshold. This is usually handled through your tax code or a Self Assessment tax return.

National Insurance on both jobs

National Insurance is calculated separately for each job. Each job has its own Primary Threshold, so you might pay NI on both jobs if both exceed the threshold. However, there are annual limits that prevent you from paying too much NI overall.

What you need to know

• You'll have separate tax codes for each job – your main job gets your Personal Allowance, your second job usually gets a BR code
• Your second job is taxed at 20% from the first pound (unless your total income pushes you into a higher band)
• Your total income across both jobs determines which tax bands apply
• You may need to complete a Self Assessment tax return if your tax situation is complex
• If you overpay tax, you'll usually get a refund automatically after the tax year ends

What you can do

If you have a second job, make sure both employers have the correct information about your employment situation. Tell your second employer that you have another job so they can apply the correct tax code.

Use our tax calculator to estimate how much tax you'll pay across both jobs. This helps you understand your total tax liability and plan your finances accordingly.

Keep track of your payslips from both jobs. At the end of the tax year, check your P60 forms to see your total income and tax paid. If you've overpaid tax, HMRC will usually refund it automatically.

If your tax situation is complex (for example, if you're self-employed in addition to being employed, or if you have significant income from other sources), you may need to complete a Self Assessment tax return.

Related guides

For more information about UK tax and tax codes, see our UK Tax Guide. If you want to understand what a BR tax code means, read our guide on what BR tax code means.