Might be because of tax brackets and not knowing ahead of time if you’re getting a raise. E.g. maybe you are the top of some bracket for most of the year, and youre on track for not surpassing it by the end of the year. Then you get a raise near the end and it bumps you over.
Should they take a huge amount off your last couple payslips? Or just let you pay it in taxes later?
Might be better for some people to pay via taxes instead of automatically losing the money for that month.
Might be because of tax brackets and not knowing ahead of time if you’re getting a raise. E.g. maybe you are the top of some bracket for most of the year, and youre on track for not surpassing it by the end of the year. Then you get a raise near the end and it bumps you over.
Should they take a huge amount off your last couple payslips? Or just let you pay it in taxes later?
Might be better for some people to pay via taxes instead of automatically losing the money for that month.
Just a guess though.