Am I paying too much tax.

:confused: Huh?

If you mean State Benefits, damn right I'd be claiming the ass off the State for anything I was entitled to. If was entitled to anything. But I don't do drugs, have never been to prison and work hard for a living...
 
EagleOC said:
:confused: Huh?
Click to expand...

What I'm trying to point out is, why pay tax and complain, but never claim anything back from the state when you're entitled to?

EagleOC said:
If you mean State Benefits, damn right I'd be claiming the ass off the State for anything I was entitled to. If was entitled to anything. But I don't do drugs, have never been to prison and work hard for a living...
Click to expand...

Yup, know what you mean...
 
EagleOC said:
Ok, I hear you but imagine this scenario.

I spend all year doing designs for people charging, say £500 each. I put away 30% of that (inc NI contributions) for tax.

When the big 40 comes, I then have to put away 50% (inc NI contributions) to be safe. So my nice £500 project becomes a miserable £250.

As I said, soul-destroying.
Click to expand...
No you don't, you go from needing to save ~27.5% to saving ~41%, still a large jump but if you know in advance you'll go over and just save ~35% from the start you'll be fine (you can get to around £100k before needing to up this figure), you'll also have a nice bit of money saved which you can blow on something nice.

I find it's just better not to spend all your money anyway ;) If you're earning a decent amount just save 70% and get some savings :)


Mick.
 
basmic said:
I'm on the 522L tax code as well, but am confused as to why I'm paying so little tax...in fact, I'm worried I'll end up coughing it all back up. :eek::(
Click to expand...

IIRC you only got a job fairly recently?
If so, that will mean you will pay less tax this tax year.

e.g. The limit is £5,225 for the full year, so you could get a job earning twice that 6 months into the tax year and still pay no tax (as your total earnings for that tax year would still just be that of the limit)
 
You must log in or register to reply here.
Back
Top Bottom