Anyone else lost a bit of ambition now they’ve been taxed to the brink?

[Peasontoastt]

I used to be extremely ambitious and was really eager to reach some sort of financial security. As a consequence, I’m in what’s considered a highly paid career, I work hard and it took me many years to train.

Just as I paid off my student loan (which took many years), I then had a baby and returned to work to be stuck with the childcare dilemma. I struggled through that phase and have come out the other side but being taxed so much, no child benefit, still paying for nursery even though dd has ‘free’ hours now. It’s likely that savings are going to be bashed next, so what’s the point in even putting anything aside when there’s likely going to be a 4K cap on ISAs.

I used to feel so ambitious and of course I know money isn’t everything, not by a long shot. But having worked my way up the ladder and with huge responsibilities only to feel penalised financially for doing so…what is the point? Yes I have more financial security than someone claiming benefits but equally, I am not being flippant when I say a few years of resting and being at home and being frugal is starting to seem so much more attractive. Has anyone else started feeling this way? I feel taken the piss out of by every financial angle!

Breaking news - my P60 for last year, which you haven’t seen, definitely didn’t say less than £48k gross income.

Unsure if you’re doing your invasive calculations annually, but I was referring to my monthly deductions. Which are in the thousands. I’d get into the specifics, but frankly it’s none of your business.

What a boring level of incorrect snobbery/condescension.

Those 60 people aren’t going to make a huge dent in that, are they.

Following your logic, and again to provide context.

450 million is what the Govt expects to raise from VAT on private school fees this year.

So, we can say that the PS VAT imposition was pure class war, and spite.

It is and I we are paid more and have a better quality of life

Good for you.

We have just submitted our Form P85 to HMRC, and cannot wait to be out of the clutches of this Labour shower of a Government.

Yes, this is a very small proportion. It doesn't make it right though.

Until you need an ambulance or an ITU bed. And of course all the staff who work in private healthcare were trained by the NHS.

Yep we can, until the full impact is known.

With income gained offset against £7k per child for every child who moved from private to state, plus an actual quantifiable impact assessment of change in state school. The measure of the sucess of this policy is not how much it raises, but the actual measurable impact it has vs pre labour.

Considering labour has cut school budgets by around 7-10% in real terms over the past year (teacher pay rise not fully funded, NI increase not funded, cuts to SEN funding) that 450 million, even if they actually acheive it (which I seriously doubt) won't even meet 1% of school budget loss.

As on March 2025 there are 860,000 people using the scheme - a huge increase in a short period.

Again, questioning this seems unacceptable but… it does seem fairly extraordinary.

Fair enough.

An NHS ambulance will take forever to come.

Bupa Cromwell hospital has an ICU and ITU.

Ok, still stands - if it's monthly then you're under 100k with 31% effective tax rate top. People are generally fine with this.
The issues arise when it's 62%, childcare making it more than 100%, IHT on pensions make it 80% etc.
This is what needs to be sorted

If you don't get enough satisfaction from your job to want to progress in your career and are already earning a lot, then it makes absolute sense to put more of your time and focus into other, more rewarding things - family, community, home, health and fitness and wellbeing, studying and learning new things. That sounds as though it would be a good thing all round.

@UnimaginableWindBird

Yes, it's great for individual. Who will pay the taxes in this case? to support whatever number of cars was claimed here?

I think people should pay what they owe, relative to what they have.

I thought that at £20k, I think it regarding my taxation now, I’ll think that at £100k+.

I’ll think that about my parents estate, my own, whoever’s.

I don’t see it as getting “stung” on IHT, or paying out money that was ever mine to begin with. I have absolutely no desire to keep what should be going into the system, whether that’s tax on income or inheritance.

you’re fortunate. You clearly don’t need the money as much as others. I know it’s mind-blowing for some on here but some of those earning £100k can’t afford full childcare fees and 60% tax and student loans and mortgage so they need to put money into their pensions or go part time to make the numbers add up. They aren’t as fortunate as you.

There's also that other tipping point - it's not just that people might not be able to afford to pay tax, childcare, mortgage etc. But if you're only keeping 20% of the extra you earn, but having to work harder as a result of that payrise or promotion (which, lets face it, is often the case....) then at some point I'm going to sit back and think "meh, not bringing home that much extra but I'm spending 8 hours less with the kids per week so might as well just reduce my hours". Why should I work harder and sacrifice time with my family when I'm only keeping say, 20% of the payrise? My sacrifice of time with family and my increased stress levels associated with the new role/promotion/payrise has a $£ value to me and when we reduce the additional take-home pay so much by taxing it like mad, it becomes pointless.

FWIW, I've turned down promotion recently as it would make zero financial sense for me to do it (I already sacrifice to pension) whilst I still have childcare fees and whilst I'm keen to progress my career, its not worth the additional stress of the job Vs the small amount extra I actually get in my pocket as a result. Maybe once the childcare fee days are over!

It's all very well other PP saying they would just pay the tax and be happy to, but the reality is really different. To say otherwise is just stupid tbh. I mean, in some instances you're worse off for taking the pay rise around 100-120k mark - I don't see people lining up to take a pay cut, or to work extra for free do you?! Yet, we're supposed to take it and be damn well thankful!??

Can I ask where you went/where the plenty of places to go are? I feel like post Brexit finding work outside of the UK is nigh on impossible but i am desperate to leave this country.

I’m no mathematician, but someone over £100k is more fortunate than me, not less. That’s just how money works.

Being unable to manage on over £100k is an issue with life vs funds. Nobody makes any of us buy the houses we do, live in the areas we live in, have the kids we do. If you can’t afford your life, at that income level, it’s because of spending choices/commitments.

I think you are misunderstanding the problem.

With two in nursery, I earn £0 between £100-40k ish.

I know lots of people in that situation. They all either work part time or salary sacrifice to stay under the threshold, as the loss of income if they go over it is so great.

Often, you will actually lose money vs earning less.

This is incentivising people to work less, earn less and pay less tax. Thats not a good incentive.

Taxes In the UK are not very high at the moment IMHO. They have been a lot higher in the past.

Hang on.

You cannot look at tax in isolation - you need to consider COL, inflation, the direction of travel in fiscal policy, job/income prospects, and what do you receive (or not receive) for your tax?

At £100k salary your take home pay is £5,700 a month. Staggered that you feel hard done by, even taking childcare costs into account. What are your outgoings? Mortgage? Car payments? Something must be eating into that to make you feel so unhappy about your take home. How would you cover those on a lower salary, have you done the calculations?

So you think the answer to fixing that is to pay less tax? How will that work?

We are both high earners and I don't mind paying tax at all and never try and find any way to pay less.

Unless you are a higher earner, for whom they are at historic highs.