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?

Yes but that assumes the person doesn't have a private pension from their working career

£45k is nothing - especially if you live in London. I earn just over £50k in a professional role for a public organisation. But because it’s the public sector, I’m paid at least £20k less than what I would earn in the private sector. I like my job, but it can be extremely stressful at times. If I have to pay a lot more tax just because my pay is over £45k, then frankly, it won’t be worth all the stress and bother anymore I will look to do something else. I’m at my limit.

So? It still isn't the salary of someone "rich" and it's certainly the salary of people who work yet they aren't included in a definition of "ordinary working people". That's the issue!
On your salary you will also get benefits paid for by those earning 45K.

I earn just over 50k in the public sector. I live alone though circumstances outside my control with a sizeable mortgage for one person. I'm pay cheque to pay cheque with nobody to rely on financially. Any changes to my tax bracket will be devastating for me.

it will also affect people who aren't on a particularly high basic wage, but do shift work or other unsociable hours.

People seem to struggle to understand why some people earn so much more than others.
Special talent (footballer, singer, entrepreneur) aside it is very easy to understand;
Wealthy companies who do complicated work, need bright grads and they pay them handsomely and they work hard.
From there on it's rungs down.
But even Aldi offer a £50k starting salary for their Area Management Graduate scheme.
My kids were made to work extremely hard at school and weren't allowed to just mess around on X-box through their teens. They all got great grades, but now it is up to them.
If you didn't work hard at school or just aren't clever, then you are going to be paid less to start with, but you can work hard and work your way up, or if your company doesn't recognise your talent, start your own business. It's going to be much harder, but that is life.

Two of us means a higher food bill, twice the amount of clothes, two cars needed due to work locations and shifts, two phones, two lots of dental costs etc.
Yes one person on 45k might struggle while they are still single, would they get benefits if they had children? Or single person council tax?

They never take into account whether this a single income household though do they? Yes fair enough if you both earn 45k+ but trying to get by on one wage whilst paying a mortgage, bills, childcare etc is no easy task.

Individual circumstances need to be taken into account.

I am in my 20s and started earning £45k at 26. I certainly don’t have an envious lifestyle at all, I think the cost of living has inflated salaries and £45k is basically earning £30k a decade ago. Sure, it’s not minimum wage but I still think twice about every purchase.

And if they only have the basic pension, they get pension credit which opens up the door to extra money / support.

@NorthXNorthWest 'Bullshitting', 'not interested in my experience', 'if I am interested' - None of what you say is selling you as motivated or even a valuable addition to a team.

Bullshitting is a known and established practice in interviews.

"Not interested in my experience" is an issue with the employers and recruiters, not me. I'm interest in mine, and other people's, experiences. It's up to employers to show interest.

"if I am interested" is a quote that you took out of context. I said I find it easy to explain why I want a job if it's a role I have a particular interest in.

Genuine question Are you on the spectrum or do you have a disorder of some type?

First of all, that's hurtful to people who are not neurotypical as it implies there's something wrong with them.

Second, the answer is no.

There are more jobs at the bottom of the ladder than there are further up

The single persons council tax reduction is only 25%.

Since when has income tax taken into account individual circumstances? That's a crazy suggestion. You think Labour will get HMRC to assess every individual?
If they change the band then it will be a blunt cliffedge. That's how it works for other bands

My job pays extremely well, but I hate it. We have very little saved because my husband apparently can't be arsed working and we spend too much on the kids' hobbies. There comes a point where I jack it all in and look for shift work on NMW instead. If we both did that, we'd probably be better off with in work benefits on top. Not like the kids ever practice their instruments anyway, skiing is a stupid activity and by the time we retire there'll be nothing left whatever I try to save. So yeah, go for it Rachel! I look forward to not paying 80k for your various virtuous projects!

so I'm a high earner on PAYE, how would I invest in a company to avoid higher taxes? and how much extra money I'd get to spend on little luxuries?

Or do you mean those who are on benefits will get more?

State investments are always less efficient than private ones precisely because those who make decisions don't benefit from them directly. I'd encourage you to read a bit of history, you'd find USSR fascinating.

This thread yet again makes me think that it should be mandatory to pass some IQ test before being allowed to vote.

It’s a sneaky way to make money without reducing benefits
Benefits are based on gross income

Why are you trying to one up others on how “poor” you are? Christ. Really glad my taxes support people like you (!)

Your cumulative life decisions that led to you both earning £24k, doesn’t detract from the reality of life on £45k not being as cushy as you assume.

Yes so you fight your way up the ladder only to be told you are now not a working person so deserve to pay more tax!
All those decades of hard work to fight up the ladder for what??? To be squeezed for even more tax? What's the fucking point?

Your household income is therefore £48k and you will have a significantly higher income after tax than a household with a single income of £48k.

Do you still think it’s fair to take more tax from a single earner household on £45k?

The wealthy don’t want to be demonised either, they have already been targeted for a long time. Increase it further as you suggest, and the “middle class’” tax will rocket to levels never yet seen to plug the hole when they’re gone.

Quick we need to tax those who have the deepest pockets and pretend this fact doesn’t exist:

“Income tax payments are concentrated among those individual taxpayers with the largest incomes. The 10% of income taxpayers with the largest incomes contribute over 60% of income tax receipts.“

But remember the “rich” need to contribute more….

Welcome to Labour for all those who voted it.

Top of scale unpromoted teacher is 51k.

Pension credit is only available to those not on a full state pension

Rishi warned everyone and was ridiculed for doing so on here......remember that?
He was 100% spot on and should receive an apology from many on here.