Benefits for high earners

Nick_C

Dunroamin wrote: »

Yet another person who thinks (or tries to make others think) that high rate tax payers pay this on all of their salary!

If you were reading this from a position of ignorance, I suppose you might get that impression, but you would have to be very ignorant!

Dimey

OP if you've got the opportunity to live in Switzerland rather than the UK - go for Switzerland. US second.

The UK has become a shadow of its former self.

Staff in service industries don't care about the customer and try to get rid of you rather than help you. Many people are rude and aggressive.

Cities are dirty un-cared for places where the threat of violence and conflict hangs in the air.

The countryside is neglected and polluted by crowded road systems and building development.

The schools are intimidated by bullies. And according to a recent thread on MSE most of the population take drugs as a normal social way of life.

I'm going to get stick for having said the above but most people will have to admit some or all of these points to a greater or lesser degree.

OP -I liked the way you took the ribbing about your post. I wasn't going to bother posting. Then I realised you appreciate your fortunate position and just want to do what's best for your family.

Make the most of that salary while you can earn it. Save for a rainy day because at that level, redundancy and nervous breakdowns come with the territory.

Good luck to you.

melly1980

Dunroamin wrote: »

Yet another person who thinks (or tries to make others think) that high rate tax payers pay this on all of their salary!

Not at all soft @rse, so you should think carefully before you post and for future reference dont tell me what I think because you dont know.

When dealing with very high wages you are essentially paying that because the 21% range of your tax is proportionately very small.

As a very quick guestimate the person will be paying 33% stoppages ish (tax and NI) on 1/3rd of their salary and over 50% stoppages on 2/3rds.

Dunroamin

Nick_C wrote: »

If you read the first post, OP states "My wife is a stay at home mum,"

Thanks, I missed that. (Though why he's enquiring about childcare vouchers beats me then.)

Dunroamin

Nick_C wrote: »

If you were reading this from a position of ignorance, I suppose you might get that impression, but you would have to be very ignorant!

There are plenty of those on here.;)

Dunroamin

melly1980 wrote: »

Not at all soft @rse, so you should think carefully before you post and for future reference dont tell me what I think because you dont know.

When dealing with very high wages you are essentially paying that because the 21% range of your tax is proportionately very small.

As a very quick guestimate the person will be paying 33% stoppages ish (tax and NI) on 1/3rd of their salary and over 50% stoppages on 2/3rds.

Gross income £150,000 - net income £90,000. Not what I would call 50%.

melly1980

Dunroamin wrote: »

Gross income £150,000 - net income £90,000. Not what I would call 50%.

so?

You are missing the point in spectacular fashion. The points are as follows.

1) I dont think, and never have thought that a higher earner pays that tax on all their earnings. What I did do is make an estimated based on the fact that the lions share of their salary will be highly taxed. Your claims about my thoughts that you have managed to derive from my head were therefore wrong

2) The 50% wasnt even the central point that I was making. The real point, that seemed to effortlessly float over your head is that this guy is paying a serious amount into the system and then being negatively judged by those who take a serious amount out. Have a think about that.

princessdon

A slightly alternative way to look at it

£26,000 tax free on benefits lets say for 10 hours per week work/job seeking. Hourly rate is £50 ph

Op take home £87,000 for 100 hours per week, allowing for annual leave approx £19 ph.

Op may be on a good salary - but in the main it's due to working a lot of hours, salaries in that bracket are rarely 9-5 or 37 hours per week. Stress is high, family life suffers, children miss out on some family aspects, as I said earlier - it's often sell your soul for the salary.

Saying no is career suicide for some.

zaksmum

To be fair to the OP, there are actually some non means tested benefits - no idea of the position if he's been living out of the UK though.

If there was a qualifying level of disability involved he could be a millionaire and still have full entitlement to DLA

Thomas_The_Tank_Top

Nick_C wrote: »

Hi Byrneand,

I'm sorry that your question has produced nothing but sarcasm and insults, but I'm afraid that is what 21st Century Britain is like. We are now a society that believes the state owes us everything, the rich should pay for it, and everything that has gone wrong in our lives is someone else's fault.

As someone earning more than £150K pa, you will be entitled to pay a minimum of £60K in tax and national insurance to help to support bone idle layabouts who have never done a day's work in their lives.

You would think that your significant financial contribution to our failing economy would be welcomed, and that you would be congratulated for having achieved a sound financial situation that will allow your wife to stay at home and be a good mother to your children, instead of having to go out to work and farm them out to strangers, but you will not. You will be met with envy and jealousy.

Child Benefit is out of the question, but you can minimise you tax liability by opening a junior ISA for your newborn. Halifax currently pay 6% and you can save up to £3,720 pa, which is locked away until your child reaches 18. This should cover your child's costs once they go to university, so offer you a long term saving.

Despite your immense wealth, a benefit that the envious majority have not yet taken away from you is that you and your wife are still allowed is to invest up to £11,520 each in an ISA each year, avoiding higher rate tax on investment income.

Apart from that, expect to give a lot of money to the State and get very little in return.

Welcome back to the UK! (Are you sure you wouldn't rather stay where you are?)

Do you notice how the Benefit Board clique always close ranks when every now and again someone tells it how it is?

Bravo sir. Well said.