To those on £145,000 plus will you spend or save your tax reduction following the recent budget

[FridayTheThirteeth]

The PM says that giving tax cuts will boost spending and the money will trickle down to the bottom

So if pay the 45% tax will you spend the majority of the tax reduction or save the money.

I think people will save the majority of it.

YABU - they will spend most of it

YANBU - most people will save most of the tax reduction

We are upping the Isas and our Pensions
We will probably do a bit of work to the house as well though

I might burn 50 pound notes to keep warm.

It’s £150k plus

And most won’t trickle down at all

They should have increased the 40% threshold as that would feed into more expenditure by those who currently get hit with it at just over £50k

Spend. Little point in saving it with inflation the way it is.

People will absolutely save it. I don't think there's any doubt. Anyone with surplus money at the mo is saving it in anticipation of things getting worse 😕

Spending it all on Christmas Selection Boxes, and Christmas Tree Chocolates.

Sorry £150,000 plus.

I agree that threshold changes would have been better.

Most of it would cover inflation and rising costs. Part of it would go towards holiday (which would also be more expensive). So I don't think we will save much. Perhaps we will be buffered from the cost rises due to the tax saving. Yet, I think it's madness and the 45% should've never been cut.

Most likely a mix of spend and save.
we have a small pot of savings but also like going out and going on holiday.

covid times taught us to enjoy life.
go to the pub and eat dinner etc.

Doesn't happen till April next year if it even comes in at all

Save and help out family. We’ve reigned in our spending completely to try to insulate from any further price rising/ stock market issues.

We’ve had plans to buy a new house next year but will now wait a few years. Instead we’ll be helping out both my parents.

Giving mine to local homeless charity

Deffo giving more but also spending more wisely ie less on Amazon unless they are FBA but more local traders and much less from China.

Is it about spending more or cutting less though?

Would you be more likely to keep your cleaner, keep going out for meals, doing the things that would have been first for the chop?

Well I have sat in my office (there are a good percentage who will earn well in excess of 145) all week having to listen in to conversations with the men (only the men seem to need to talk about this at work) baking on about how they will be saving all the extra. I have not heard anyone say they will spend it!

Spend some save some probably

Carrying on spending as usual, whereas may have cut back a little.

is taking on the extra work to pay towards university tuition fees and pension.

Save all the way

unfortunately no trickle down from me

We will have 2 at uni next year, so it's all being saved for them...plus our mortgage looks as though it will be costing £500 more a month. So no trickle down here...(someone should tell the Chancellor it doesn't work..😉.)

DH is on less than £30,000 and is getting a tax reduction too. We should probably use it to buy Labour Party membership because the Tories have completely lost the plot. I have a theory that Liz Truss is actually a Labour supporter and infiltrated the Tories to get Labour back in power.

Looking like it (>10k) won't even cover half of the likely increase in our annual mortgage repayments

Buying stuff for our ages 20+ dses, in need of furniture as setting up homes all of them. We aren’t great at saving, tend to spend what we have, with a little bit of saving.

Advance payment of school fees - so I don't have to pay VAT on them when Labour get in.