to ask how you will be affected by the budget announcements?

[manicinsomniac]

Sorry if there's another thread about this, I can only see lots of speculative ones.

Now that it's announced ... I admit I'm struggling to get my head around it. I don't think it's as bad as I thought? I don't think it can be that good though? I don't think there's a single thing in it that affects me. I'm not sure about any of that though because I find it all quite confusing!

So, ordinary people from ordinary families/households - how are you going to be affected, if at all?

According to the BBC calculator, as a two wage family with one child, we will be better off by 160 quid (tax allowance I think).

I'd rather be worse off and not see people on less lose out - losing 5k a year wouldn't stop us paying for food or a roof over our heads, just a few less luxuries, but losing even a fraction of that will totally fuck many families.

Those who are going to be worse off are in three main groups - those claiming tax credits, those taking their earnings as dividends and those paying a lot into a pension. I don't know but I think the tax credits group would be the largest in number.

£142 better- woopy doo!

Mmmhh... couple hundreds better off. So no real impact in the end.

No idea we have 3 children but either way I am not bothered for myself. I feel sorry for others.

It won't stop us having more children though

devonfolk - no, I don't claim tax credits.

According to the BBC calculator a single person of my age with three kids earning £25,000 a year will be £1351 worse off as a result of the budget. That's about 5% of their salary.
A single person of my age with three kids earning £250,000 a year will be £18.50 a year worse off. That's 0.007% of their salary. I think that tells you everything you ever needed to know about Tory economic policy.

This.

£141 a year better off

DH is a HRT, I'm a SAHM, we have 4DCs, don't receive tax credits or child benefit

It's not fair that we are better off when people earning a lot less are going to be a lot worse off.

single working parent - £2000 worse off

I am the same on the calculator, feels rather shit though as best friend is not only screwed by the ex but will now be screwed by the budget. She is £2000 down but she is already struggling with commuting costs. I am going to do holiday childcare for her but I really do not think she will survive without building up debt until she can go full time.

I don't understand how it will effect us. Dh has his own business and pays himself dividends. How much will he be taxed on these? If it's a higher rate, what is the threshold?

Prepper with respect I never said dividend income (which is investment income) isn't income. I said it wasn't earnings. Which it isn't. A lot of people dodge paying tax by taking income through dividends instead of salary. Or at least, they used to. The fact that those taking extremely high incomes through dividends can't dodge tax now is a good thing and complaining about it when there are vulnerable people who are now worried about surviving is in pretty poor taste.

I think we will be around £250 better off but I didn't really understand the tax on cars thing properly so it might be slightly different

£171 a year better off

Dp is only just a hrt and I'm a SAHM. It will make no difference whatsoever to our lives. Much better that someone less fortunate get it. Can't stand what this government are doing. It's why I didn't vote for them.

£1,533 worse off. That's £29.50 a week. Given that we only spend about £30-35 a week on food, I'm not quite sure what we'll do. DD starts school in September 2016 so our childcare bill will decrease & I can (hopefully) go back to work full time.

I don't understand how it will effect us. Dh has his own business and pays himself dividends. How much will he be taxed on these? If it's a higher rate, what is the threshold?

Only £5k will be tax free. Depending on how much he takes as dividends he'll pay between 7.5 and 38% in tax.

Prepper with respect I never said dividend income (which is investment income) isn't income. I said it wasn't earnings. Which it isn't. A lot of people dodge paying tax by taking income through dividends instead of salary. Or at least, they used to. The fact that those taking extremely high incomes through dividends can't dodge tax now is a good thing and complaining about it when there are vulnerable people who are now worried about surviving is in pretty poor taste.

How is it not earnings?!

Can someone say where it says tax credits will be cut? I can only find where it says they will stop paying for 3 or more children from 2017. The calculator says we'll be 1200 worse off due to tax credit cuts.

In the new tax year Duggee.

£160 better off, as we don't get tax credits, so it's from the increase in personal allowance. It's horrifying what large chunks of income people who needed support the most are going to lose. I just don't understand how the government thinks people will survive.

I think that might be at the heart of what's confusing me too Duggee - a quick read of the budget doesn't highlight such a wholesale cut of tax credits.

We will be slightly better off because of the tax changes. I'm a very low earner and dh is in the 40% bracket.

I understand it's not this year but in the news articles I can't find anything about a slash in the amount to be paid.

We are only £65 a year worse off, which won't really affect us. We have been given an embarrassment of riches through the change in inheritance tax threshold so god knows I have nothing to complain about.

A cut of £5k is huge, I'm really sorry for those people so severely affected

As a household we are circa £400 better off. But my husband and I are both full-time working professionals on very good salaries, some of the least needy people around! I am a surprised to be honest.