Cyclone Posted March 5, 2008 Share Posted March 5, 2008 So basically if you got no kids, and you do a full time job on a low wage, your basically shafted as most of your wages will be lost in tax. Accepted we all pay the same rate of tax (apart from the top earners) but 20% of 9,000 pa, is more devastating that 20% of 27,000 per annum Whats to point in working for a living? how can I justify telling my offspring to bother with condoms? No. You've ignored the tax free allowance completely, which alters the picture quite a lot. And if you work full time you earn more than 9k. I'm not sure how this relates to safe sex... Link to comment Share on other sites More sharing options...
Slurper Posted March 5, 2008 Share Posted March 5, 2008 So we should forget our own poorer families because some Africans are living in poverty? I've never heard anything so uber-PC on here in ages!Goodness no – I would not advocate donating the steam from my p… to overseas charity. Leave them to sort their own self-made problems form their own nations’ resources. My point was that people abuse the term poverty and apply it to people who should thank their lucky stars that they have what they have. Link to comment Share on other sites More sharing options...
Alex C. Posted March 5, 2008 Share Posted March 5, 2008 10% on £4000,I think not.Those calculations are incorrect.There are rate bands for the 10,22 & 40 tax rates My mistake, I thought the 10% band was for £5,000 worth of income, its not, its £2,150 The rate bands are (approx, I recognise, Darbees) 0-5000: 0% 5000-7500: 10% 7500-36000: 22% 36000+: 40% (with a 10% reduction in NI) so on £9000: £5250 is taxed at 0% (£0) £2250 is taxed at 10% (£225) £1500 is taxed at 22% (£330) for a total of £580 tax. Once the rates are adjusted, it will be roughly £5500 taxed at 0% (£0) £4500 taxed at 20% (£900) for a total of £900 tax - so there will be a loss of £320, not £500 Link to comment Share on other sites More sharing options...
Twiglet Posted March 5, 2008 Share Posted March 5, 2008 My mistake, I thought the 10% band was for £5,000 worth of income, its not, its £2,150 The rate bands are (approx, I recognise, Darbees) 0-5000: 0% 5000-7500: 10% 7500-36000: 22% 36000+: 40% (with a 10% reduction in NI) so on £9000: £5250 is taxed at 0% (£0) £2250 is taxed at 10% (£225) £1500 is taxed at 22% (£330) for a total of £580 tax. Once the rates are adjusted, it will be roughly £5500 taxed at 0% (£0) £4500 taxed at 20% (£900) for a total of £900 tax - so there will be a loss of £320, not £500 since when has 4500 + 5500 = 9000 Link to comment Share on other sites More sharing options...
Cyclone Posted March 5, 2008 Share Posted March 5, 2008 My mistake, I thought the 10% band was for £5,000 worth of income, its not, its £2,150 The rate bands are (approx, I recognise, Darbees) 0-5000: 0% 5000-7500: 10% 7500-36000: 22% 36000+: 40% (with a 10% reduction in NI) so on £9000: £5250 is taxed at 0% (£0) £2250 is taxed at 10% (£225) £1500 is taxed at 22% (£330) for a total of £580 tax. Once the rates are adjusted, it will be roughly £5500 taxed at 0% (£0) £4500 taxed at 20% (£900) for a total of £900 tax - so there will be a loss of £320, not £500 I've already done the precise calculation for you, without the silly mistakes, down to the penny. So 07/08 tax for an income of 9k would be £560.5 In 08/09 the allowance will be higher 5435, but the 10% band will disappear. So on 9k tax will be, £713. An increase of £152.5 Link to comment Share on other sites More sharing options...
Mathom Posted March 5, 2008 Share Posted March 5, 2008 Goodness no – I would not advocate donating the steam from my p… to overseas charity. Leave them to sort their own self-made problems form their own nations’ resources. My point was that people abuse the term poverty and apply it to people who should thank their lucky stars that they have what they have. Well the term 'poverty' is being abused because you cannot take X amount of income and say that below that level you are 'poor' as circumstances differ. In London an income of £16k would be a pittance and you'd probably find yourself having to share a room with 5 Australians in Earl's Court. In Shetland it would be a great wage (houses are unbelievably cheap). In Sheffield, for a single person who didn't want to own a home and was OK about flat sharing it would be great. But for a family to live on it wouldn't be enough unless they were lucky enough to have got on the ladder a few years back or to have a council house. Nobody should be poor who also makes the effort to work and to contribute. If there's a worker who can't afford a well-deserved pint on a Friday then there's a great injustice going on Link to comment Share on other sites More sharing options...
Alex C. Posted March 5, 2008 Share Posted March 5, 2008 I've already done the precise calculation for you, without the silly mistakes, down to the penny. You posted after I clicked reply, thanks obviously not a good day to be doing maths! Link to comment Share on other sites More sharing options...
EmilyM Posted March 5, 2008 Share Posted March 5, 2008 Thats what working tax credit and child tax credits are there for. Not for me, I have no children and I am under 25. Link to comment Share on other sites More sharing options...
Tarquin Posted March 5, 2008 Share Posted March 5, 2008 since when has 4500 + 5500 = 9000 2 seperate tax years;) Link to comment Share on other sites More sharing options...
Kthebean Posted March 5, 2008 Share Posted March 5, 2008 I dont understand this thread. I earn well under 16500 and I live a life of reckless abandon and luxurious fripperies? Link to comment Share on other sites More sharing options...
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