Not an ordinary working person if you earn over 45k

[TesChique]

Disincentivising anyone to strive to earn over 45k a year is a bizarre strategy for growth i feel

Aibu?

The one under coz they already have nothing
the one well above as they have everything.

The status quo for quite some time has been to squeeze the middle to release the rage of the first and increase the pleasure of the last.

Yes exactly this.

Which of those expenditures do people on ordinary wages not also have to pay?

Gov trying to convince us we're privileged if we earn over 45k, thus we ought not mind another tax increase. I'm in Scotland, so well versed in the 'broadest shoulders' bs.

Hard work, grit and perseverance paid off I assume?

Yes it probably is that amount now.

However I wonder how that figure is generated. If they include people on extremely high salaries, then that would pull that average upwards. I think the modal average is likely closer to 27k-33k.

Higher rates of tax would :
a) encourage people to invest in their companies (to avoid taxes) providing greater production or greater efficiency.
b) provide greater leeway for government spending in public works which benefits companies providing those goods/services.
Consumption would probably increase because more people would have more money to spend on little luxuries.
There are loads of articles and different models but generally public investment is better than private. The example off the last 14 years should be a very good example.

£45J is an ordinary wage.

Low income households vary enormously in the amount of support they receive, which is one of the unfairnesses of our system, but someone can be in receiving of housing benefit and tax credits, free bus passes, reduced utility bills, among other types of support.

It's not just what you earn but what benefits you can get alongside it, be it tax credits etc.

IMO tax should be lowered for the ordinary worker along with benefits being reduced/removed entirely. It makes no sense to tax people and then give them some/all of it back via benefits.

That might work on paper, but it doesn’t work in practice.

1. Keeping less of what you earn (whether personally or in a company structure) generally disincentives work and growth.
2. Governments don’t have a good track record on efficient spending (at least in this country).

Yes. The median income before benefits and taxes is actually lower than the median income after benefits and taxes.

They are trying to appeal to pensioners (see triple lock and winter fuel backdown)
They are trying to appeal to young workers and low paid (see increase to min wage)
They are trying to appeal to likely reform voters (see increase to minimum wage, and rhetoric about boats and hotels)
They don't care about;
Top 10% of earners - because everyone hates them, right? (Even though they pay all the bills)
Top 10-30% of earners - because really they should be voting Tory and will probably be come the next election
Anyone who lives in London, who inexplicably vote Labour even though they get continually shafted by them.

That's my thoughts anyway

Money paid into your pension would not be counted, so you could earn 55K and pay 10K into a pension scheme and your gross income would only be 45K.

They do, it's paving the way for Universal Basic Income.

The average salary or GDP per capita £37,660 and many people earn much less!

We are on ordinary wages of around 24,000 each. We pay council tax, high energy bills, water rates etc. No benefits, we're not entitled to any.
45,000 is almost double what we earn.

But why did you do 3 post grad degrees? Did you do this to increase your earning power or for some other reason. Additional education doesn’t necessarily equate to more money, I’m interested to understand your basis for doing so much post grad?

It’s an attempt to make us believe they won’t be breaking a manifesto pledge by taxing “working people”. Beggars belief. Dictionary definition of “working” and “people” kicks that one into touch. Honestly this shower of sh*t are totally incompetent and I voted for them 🙄. Here’s an idea - stop the cash rich supermarkets and all the other big corporates cutting tax paying jobs and expecting us to scan our own groceries and put up with AI bots conducting job interviews and “delivering” customer service. It’s not rocket science -more jobs gone - less tax revenue coming in. Absolute morons the lot of them!

Try living on £11,973 pa. That's the old age pension in the uk.

Yes and your household gets double the personal allowance of a single household on 45k.

Surely you can see that 45k is not a huge amount to run a home on if only one of you is earning or you are a single parent for example?

What is your job again?

I mean are you gonna stop Tesco and Sainsbury's being more profitable and cutting costs and deadweight?

But you don't have mortgage or child care/cost of raising children if you are on a pension. You also don't have to pay to travel to work/clothes for work etc. It's not comparable

But thats 48k combined so quite comfortable and rightly not eligible for benefits. Pay usually increases with age also, I think i got to the 40k mark in my 40s, in my 20s i was on 20 something.