Multiple Jobs Tax Guide UK 2025

Everything you need to know about HMRC rules when you earn income from more than one job, employer, or source in the 2025/26 tax year.

UK Tax with Multiple Jobs: The Basics

The UK income tax system is designed around the idea of a single employer for most people. When you have multiple jobs, multiple income streams, or a combination of employment and self-employment, the system needs to be navigated carefully to avoid underpaying or overpaying tax.

The key principle to understand is that income tax is assessed on your total income from all sources, but National Insurance is calculated separately by each employer. This creates a system where the two main deductions from your pay are handled very differently for multiple job holders.

How the Personal Allowance Works Across Multiple Jobs

Every UK taxpayer is entitled to a Personal Allowance — the amount you can earn completely free of income tax. For 2025/26, this is £12,570. This allowance can only be used once. It is not multiplied by the number of jobs you hold.

By default, HMRC allocates your full Personal Allowance to your main job — typically the one paying the highest salary. That job receives the standard tax code (1257L for 2025/26, which represents £12,570 ÷ 10). Any additional jobs will be assigned BR (20%) or D0 (40%) codes with no allowance attached.

Splitting Your Personal Allowance

You can ask HMRC to split your Personal Allowance between jobs. This is useful when:

• Both jobs pay similar amounts
• Your main job salary is below the Personal Allowance
• You want to reduce the amount of tax deducted from your second job in real time rather than waiting for a year-end rebate

To request this, contact HMRC by phone on 0300 200 3300 or through your HMRC Personal Tax Account online. You will need to estimate your income from each job for the year.

Tax Codes for Multiple Jobs

Understanding your tax codes is essential when working multiple jobs. Here is a summary of the most common codes:

Starting a New Job: The Starter Checklist

When you begin a second or additional job, you should complete the Starter Checklist (formerly called P46). This asks you to declare whether this is your only job. You have three options:

• Statement A: This is your only job (or you have not worked since April 6th). Your employer will use 1257L cumulative — this is usually wrong for a second job and can lead to under-taxation.
• Statement B: This is now your only job, but you have had another this tax year. Employer uses 1257L on a Week 1/Month 1 basis.
• Statement C: You have another job or pension. Employer uses BR. This is the correct answer for a simultaneous second job.

National Insurance with Multiple Jobs

Class 1 NI is calculated independently by each employer using their own payroll. Each employer does not know what you earn elsewhere. This creates two possible outcomes:

Potential Underpayment of NI

Rare for employees — each employer deducts the correct NI for their payroll. However, if you earn just below the Primary Threshold (£12,570) from each of several jobs, you may not reach the threshold with any single employer and therefore pay no NI across any job. This could affect your qualifying years for State Pension. Check your NI record at gov.uk/check-national-insurance-record.

Potential Overpayment of NI

This is more common. If you earn above £12,570 from two jobs separately, both employers will calculate NI on earnings above the threshold. But the NI maximum (based on the Upper Earnings Limit of £50,270) is a combined limit. If your total earnings across jobs exceed £50,270, you may have overpaid NI. HMRC processes this automatically after the tax year and issues a refund.

Annual Reconciliation: The P800

After each tax year (which runs from 6 April to 5 April), HMRC uses the information reported by all your employers via Real Time Information to calculate whether you have paid the right amount of tax. If there is a difference, they issue a P800 tax calculation:

• P800 showing a refund: You have overpaid. You can claim online or receive a cheque.
• P800 showing underpayment: You owe more tax. If the amount is under £3,000, HMRC usually collects it by adjusting your tax code the following year. Larger amounts may require direct payment.

Common Multiple-Job Scenarios

Self-Employment Combined with Employment

When you have both PAYE employment and self-employment income, HMRC combines them for income tax purposes. Your total income determines which tax bands apply. However, each type of income has its own NI class:

• Employment income: Class 1 NI (via PAYE)
• Self-employment income: Class 2 and Class 4 NI (via Self Assessment)

You must complete a Self Assessment tax return if you have self-employment income exceeding £1,000 in a tax year (the Trading Allowance threshold). HMRC uses your Self Assessment return to calculate the total tax due on all income and account for any already paid through PAYE.

Portfolio Career: Managing Multiple Income Streams

An increasing number of UK workers have a "portfolio career" — multiple part-time jobs, freelance work, and other income streams. Key considerations include:

• Keep records of all income sources throughout the year
• Check your Personal Tax Account regularly to ensure tax codes are correct
• Consider whether you need to register for Self Assessment (required if total income exceeds £100,000, or if you have untaxed income over £2,500)
• Pension auto-enrolment applies per employer — you may be enrolled in multiple workplace pensions
• Expenses from self-employment can reduce your tax bill — keep receipts for all allowable costs

Gig Economy Workers: Deliveroo, Uber, and Similar Platforms

Gig economy platforms typically engage workers as self-employed contractors, meaning:

• Tax is not deducted at source — you must declare it yourself
• The Trading Allowance (£1,000/year) may cover small amounts of gig income
• Above £1,000, you must register for Self Assessment and report the income
• Platforms including Deliveroo, Airbnb, and eBay are required to share income data directly with HMRC under digital reporting rules
• You can claim expenses against gig income: mileage at 45p per mile, phone costs, equipment, and protective clothing

When Self Assessment Is Required

Frequently Asked Questions