How does the budget affect you

[Isseywith2witchycats]

Our circumstances both 70 so incoming to house hold 2 state pensions partner one private pension of 16000 per year so he pays tax on this, the rise in state pension means he will pay more tax on his private pension, due to redundancy and pension draw down we are mortgage free on a small 2 bed semi up north, I for one don't resent this as hopefully families struggling will be better off and while we are far from rich we are comfortable , when both of us were working income due to his job was combined salaries of net 56000 now 36000 which is why we downsized to a small house

An additional tax on top where your pay per mile it s been talked a out alot but never implemented ..once it starts it'll be rolled out to all cars

I think we all know that this is the thin end of the wedge, and like a junkie hooked on crack, Reeves will come back for more, and more.

She will not stop, but deep down, I suspect most of you know this.

I had already submitted my flexible working request to go to 0.6 after Christmas. I have a feeling that’ll be too earlier but I want to be part time by Easter.

So partners (dentists, solicitors, doctors, accountants) get a salary, on which they pay tax and NI like everybody else. They also pay themselves dividends which they pay income tax on at 20% (going to rise to 22%) but they dont pay NI. Therefore if they earn £50k in salary and £50k in dividends they pay a lot less into the government coffers than a straightforward employee would. They also have the advantage that the company won't pay NI also.

So those with the broadest shoulders are not contributing fairly!

LLP members wear risk and do not have the same tenure or earnings stability as PAYÉ.

No This is completely wrong. Partners in an LLP are self employed. They only earn if the business makes enough profit and their earnings are therefore unpredictable and change every year. They don’t receive dividends and they are not employees. They have no employment rights such as the right to claim unfair dismissal. They pay both income tax and NI as self employed people.

Correct.

Labour better be hoping those benefit claimants get off their arses and vote for them because it looks like they've lost the votes of most other people. 75% of Labour voters want welfare reforms that's they haven't delivered because Labour members and backbenchers were threatening them. Party before country just like the Tories.

So if I have a Company pension that does not use salary sacrifice (no idea why but don't think they do ) does that mean I'll be unaffected ? Now wondering why any company wouldn't have used salary sacrifice 🙄

No, partners do not get a salary. They get a share of the earnings of the partnership (if and only if the partnership makes money) which goes up and down- it's not guaranteed like a salary is. They don't receive dividends either because an LLP doesn't pay dividends. They are self-employed with all the associated downsides (no employment rights, no security of income, no employer pension contributions etc). They are therefore taxed as self-employed people (income tax and NI).

Correct. You will not be affected.

Which party do uou think will make the sun shine again?

Hyperbole much? How exactly do you expect the government to drag this country out of the shit for free?

I’m not a Labour voter but even I think RR would much prefer to have healthy coffers and not be forced to raise taxes. Comparing her to a drug addict is quite revolting.

Oh and in answer to the question, the budget doesn’t affect us other than our home is Band G so will need to be revalued. It’s not worth even half of £2m so I’m not concerned.

People keep saying this but governments change and bynthe time younger there it could be a government that doesn't help poorer families and pensioners so caution is advised.

According to what I have read on various sites, my household essentially won't be affected by this budget. Our house is Band E, and wouldn't be worth £2 million even if we were somehow reclassified as Band F. Our wages won't be affected by the income tax boundary freeze. We don't have an EV. The ISA limit change won't affect us. I'm fairly certain my DP's company exploits the salary sacrifice loophole, and mine definitely doesn't. So, I think that's all the major headlines.

I literally don’t understand the hysteria of so some posters

FYI higher tax band means that you pay higher tax only on the portion of income that falls into that band, not on all your income.

unless you are hitting 100K the difference isn’t that big

Salary sacrifice hysteria is wrong (because of bad reporting)

"I'm fairly certain my DP's company exploits the salary sacrifice loophole" - whoops, that was meant to say doesn't exploit....

Also my husband and I are both the highest rate taxpayers and we couldn’t afford £2m house in London last year 🤣
I always wonder who lives in homes like that if even we can’t afford it

Will pay slightly more tax but its v small, more than offset by other changes.

Otherwise the budget effects are 3 or 4 years away ieTH's and salary sacrifice pensions.

The 2% on LL profit is stupid though, they'll pass that on in the form of rent increases, that needs a re think.