Andy Burnham £1,301 charge on table for people living in homes worth £271k.

[BoldonLad]

Are you actually saying you turned down a promotion due to the possibility of paying more tax at some point in the future ? Even though you'd actually have a higher take home pay ?

Put your own arm around your own shoulder , walk to a quiet place and then have a quiet word with yourself.

Daughter No2 (a maths teacher), just turned down a promotion, because, in her opinion, the increase in take-home pay was not worth the additional responsibilities/work.

 

[FishFright]

Daughter No2 (a maths teacher), just turned down a promotion, because, in her opinion, the increase in take-home pay was not worth the additional responsibilities/work.

A friend's sister is also a teacher , primary school, she turned down a promotion because it was more admin than teaching . Both are good reasons.

 

[Bromptonaut]

Meanwhile, at the other end of the income scale, the equivalent marginal rate for UC claimants is 55%.

More than that even. The 55% taper is on income after tax/NI.

 

[Pblakeney]

Daughter No2 (a maths teacher), just turned down a promotion, because, in her opinion, the increase in take-home pay was not worth the additional responsibilities/work.

I did the same in my career.
It had nothing to do with tax brackets or allowances though.

 

[Beebo]

They can just make pension contributions to avoid it

Not for long.
Rachael Reeves has closed the salary sacrifice loophole.

 

[Beebo]

More than that even. The 55% taper is on income after tax/NI.

So the cliff edges at either end are causing issues.

The system we have today is far too complicated and tweaking it doesn’t work as every laudable decision in one area has unexpected consequences in other places.

It needs a sledge hammer to smash it up and start again. But that won’t ever happen. So we just have to live with the fact that there will be anomalies in the system and get on with it as best we can.

 

[BoldonLad]

I did the same in my career.
It had nothing to do with tax brackets or allowances though.

In this instance, it does.

 

[PurplePenguin]

Not for long.
Rachael Reeves has closed the salary sacrifice loophole.

You can still make a pension contribution just not by salary sacrifice.

 

[Pblakeney]

In this instance, it does.

Life is full of options. Options have consequences. People have to make their own personal choices and live with the consequences.
You can campaign to change the options but good luck with that.

One of my options was to take a high paying job in London and take the cost and tax implications, or turn it down. I turned it down.

 

[BoldonLad]

Life is full of options. Options have consequences. People have to make their own personal choices and live with the consequences.
You can campaign to change the options but good luck with that.

One of my options was to take a high paying job in London and take the cost and tax implications, or turn it down. I turned it down.

Quite.

But, it might be wise if Politicians tried to avoid unintended consequences.

 

[Pblakeney]

Quite.

But, it might be wise if Politicians tried to avoid unintended consequences.

I'd have thought you have given up hope on that by now.
Kudos on the longevity of your optimism.

 

[Psamathe]

But, it might be wise if Politicians tried to avoid unintended consequences.

Cynic in me sometimes wonders if many iof these tx "unintended concequences" are not "unintended" but loopholes designed so their wealthy mates don't pay tax. Make it too obvious (eg income above £250k is tax exempt might cause a bit of an outcry) but put in place complex loopholes that have the same effect and no outcry as people just blame the system.

 

[BoldonLad]

Cynic in me sometimes wonders if many iof these tx "unintended concequences" are not "unintended" but loopholes designed so their wealthy mates don't pay tax. Make it too obvious (eg income above £250k is tax exempt might cause a bit of an outcry) but put in place complex loopholes that have the same effect and no outcry as people just blame the system.

How cynical, to think our honourable Politicians would do such a thing!

I agree.

😂