Claiming Tax-Free Threshold on Multiple Jobs

ThatKiwiFella on 20/11/2018 - 23:06

Hi OzB

I work multiple casual jobs, all in either retail or fast food.

At my first job, I often don't get rostered
At my second job, I get about 8 hours per week
At my third job, I get between 3 and 6 hours per week.

From what I've read here, under the subheading "If your income is less than $18,200", I can claim the tax free threshold if I know for certain that I'll make under $18,000 from all 3 sources.

I know within this tax year that I'll make under that so I've claimed it at all 3 jobs, but at my second job, I got taxed almost 50% of my gross income this pay week.

Am I wrong and this is right? Or am I right and they've done something wrong and I shouldn't have been taxed?

Thank you all very much

Education & Work

Comments

  • qwerty on 20/11/2018 - 23:13
    +2

    https://www.ato.gov.au/individuals/working/working-as-an-emp…

    If you have more than one payer at the same time, we generally require that you only claim the tax-free threshold from the payer who usually pays the highest salary or wage.

    Your second payer is required to withhold tax at the higher, 'no tax-free threshold' rate. The same applies to any additional payers. This reduces the likelihood of you having a tax debt at the end of the financial year.

    • ThatKiwiFella on 20/11/2018 - 23:16

      Yes but the heading under that states that if you're 100% certain your income for the tax year will be under $18,200, you can claim tax free threshold from all employers. This is where I'm confused

      • qwerty on 20/11/2018 - 23:21

        If you're certain your total annual income from all payers will be less than $18,200 you can claim the tax-free threshold from each payer.

        https://www.ato.gov.au/Forms/Withholding-declaration/

        Fill out the form 3 times and take it to each employer or at least the other 2

        Tick Yes on question 5

        Right now they are doing the right thing by the ato

  • dny on 21/11/2018 - 00:13
    +2

    Make sure you submit a tax return next year, or see an accountant. You should get most (all?) of it back.

  • Sage on 21/11/2018 - 01:36
    +2

    It's completely up to you whether you claim the tax free threshold and how many employers you claim it for. If it were regulated, it wouldn't be a check box on a form for you to chose.
    The employer's payroll departments don't communicate with each other to determine how much you're getting taxed, and the ATO doesn't enforce tax rates while you're working.

    Getting taxed at 50% means the employer either doesn't have your TFN or has you marked down as a foreign resident.
    This should be fixed in the next pay cycle if you let your second job know something is a miss.

    • ThatKiwiFella on 21/11/2018 - 02:13

      Oh that makes sense, I may have forgotten to provide them with my TFN, although my first day at work was on the 26th October so I’d still be within the 28 days to provide it to them.

      If I sign a tax withholding form and claim the tax free theshold, would payroll be able to give me back the taxed amount from this weeks pay or would I have to wait until the end of the financial year to claim?

      • Meho2026 on 21/11/2018 - 04:18
        +2

        You’ll have to wait till end of financial year.

  • pantsparty on 21/11/2018 - 10:12
    +2

    You can claim the tax free threshold at as many jobs as you want - it will all net out at tax time each year anyway - just be prepared for a tax bill if you total income exceeds the threshold.

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