High Income Child Benefit Charge

BoGoF

The rants board is here - https://forums.moneysavingexpert.com/categories/praise-vent-warnings

Look at it from people with no kids - why should child benefit exist in the first place

MetaPhysical

> Planned one-off pension payment from bonus before end of tax year

^^That's the big one.  IF you are going to do this then it should be action stations for you since it needs to be done and in your pot by 5th April.

r6mile

What great news re the changes to HICBC! Finally something sensible

borris78

BoGoF said:

Look at it from people with no kids - why should child benefit exist in the first place

People without kids don't have the cost and responsibility of raising kids. Don't see what the problem is. They're also not contributing to the long-term future of the country. 

junglist_matty

BoGoF said:

The rants board is here - https://forums.moneysavingexpert.com/categories/praise-vent-warnings

Look at it from people with no kids - why should child benefit exist in the first place

If no one had kids we'd all be living in retirement poverty..... Either that or we'd need to be bringing immigrant workers in by the cruise ship load!

eltisley98

BoGoF said:

The rants board is here - https://forums.moneysavingexpert.com/categories/praise-vent-warnings

Look at it from people with no kids - why should child benefit exist in the first place

Look at it from someone with kids and who receives CB, I view it as this: I have no expectation to receive state pension when I'm retired; therefore the CB I receive, IMO, is a compensation to me for having to pay tax that goes to the current pensioners.

I am happy to support pensioners, but expect that others, especially pensioners, are happy to support my children. After all, we together are a society, aren't we?

xylophone

I have no expectation to receive state pension when I'm retired;

Why do you think this?

molerat

mr._prude said:

I'm currently paying 8% of my base salary into my pension via salary sacrifice (42% tax saving). I was hoping to add 75% of my annual bonus as it is over twice my monthly salary to help reduce the HICBC. 

However I have been informed by my employer bonuses can not be salary sacrificed only base salary. Anyone heard of this as I thought an annual bonus was part of your salary?

What can be sacrificed is down to how you employer implements sacrifice, legally you can but the employer doesn't have to do it if they don't want the extra admin. If they won't allow extra net pay contributions you will have  to put it into another pension scheme if you want to reduce your exposure to HICBC.

TheAble

[Deleted User] said:

BoGoF said:

The rants board is here - https://forums.moneysavingexpert.com/categories/praise-vent-warnings

Look at it from people with no kids - why should child benefit exist in the first place

BoGof - take yourself off to the rants board then please!!

This is a cutting tax board. The HICBC is an unfair tax charge.

And the government has just announced a uplift of the threshold.

Wow, I will eat my hat then

And a big thanks to Martin Lewis and the team.

It's still "unfair" though. The limits have changed but the principle has not. Two earners on £60k each keep the whole lot; a one-income household of £80k gets nothing.

Dazed_and_C0nfused

TheAble said:

[Deleted User] said:

BoGoF said:

The rants board is here - https://forums.moneysavingexpert.com/categories/praise-vent-warnings

Look at it from people with no kids - why should child benefit exist in the first place

BoGof - take yourself off to the rants board then please!!

This is a cutting tax board. The HICBC is an unfair tax charge.

And the government has just announced a uplift of the threshold.

Wow, I will eat my hat then

And a big thanks to Martin Lewis and the team.

It's still "unfair" though. The limits have changed but the principle has not. Two earners on £60k each keep the whole lot; a one-income household of £80k gets nothing.

But that's not the whole story.

Plenty of one income households earning £80k get to keep 100% of the Child Benefit.

It's each person's choice how much they want shove into a pension and plenty make hay pension wise with such high marginal rates in the HICBC band.