IAG: BA restructuring may cost 12,000 jobs
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50% of bugger all is still bugger all, whereas 50% of a fortune is still a fortune.
PS. LIFO is a dead duck. It has been thrown out at every redundancy round i've been involved with in the last 20 years. It can be used as a portion of the criteria, but not solely.
Good luck.
PS. LIFO is a dead duck. It has been thrown out at every redundancy round i've been involved with in the last 20 years. It can be used as a portion of the criteria, but not solely.
Good luck.
So the senior folk pay a fortune to HMRC, and the junior pay bugger all?!
Last edited by 777JRM; 1st Jul 2020 at 10:12.
777JRM. Absolutely. As it should be.
I would be very happy to pay 50% income tax on my earnings above the threshold if I was in the position to be earning as much.
On a side note, HMRC will take a big hit if every employer follows BA's route and cuts pay rates. Maybe thats why Johnson has hinted at a tax hike in the near future.
I would be very happy to pay 50% income tax on my earnings above the threshold if I was in the position to be earning as much.
On a side note, HMRC will take a big hit if every employer follows BA's route and cuts pay rates. Maybe thats why Johnson has hinted at a tax hike in the near future.
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It is very sad to see people start to squabble, particularly those in BA. If you attended the BALPA video phone in, you will recall BALPA legal advice was to a LIFO+ because of case law in the not too distant past. I have been made redundant before from a flying job and LIFO+ was used. Unfortunate it was to me at the time.
A good legal summary is here: LIFO: ?last in first out? as a method of redundancy selection ? age discrimination
A good legal summary is here: LIFO: ?last in first out? as a method of redundancy selection ? age discrimination
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Anyone earning enough to pay higher rate tax is doing very well compared to most people. Currently 40% kicks in at £50k, and 45% at £150k. Currently the median - the value that 50% earn less than and 50% more than - is a touch over £30k. Earning enough to pay 40% tax is indeed a privilege.
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The problem with this is that a lot of tax, like council and road tax, is not based on income and higher incomes also have more deductibles. A fixed percentage will thus effectively lead to higher incomes paying an even lower effective percentage.
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A quick method to see percentages and proportions of tax and NI https://www.netsalarycalculator.co.uk/
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But it could be argued that these are indirectly correlated to income?
The larger the house, the higher the council tax band.
The larger the car the more tax you pay (greater engine size, emissions).
Try googling ‘deductibles for UK individuals’ to see how generous they are!
Back to the thread, it looks like cuts across the board after July 10th.
If BA is going to be 25% smaller, will there be similar cuts across The Board too?
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A flat rate tax disproportionately disadvantages those at the lower end of the wage scale
777JRM
The very handy Net Salary Calculator linked a couple of posts after yours , shows that at £ 120K you will have 38% total tax and NI deducted from your salary. That seems very reasonable to me. What do you think ?
The very handy Net Salary Calculator linked a couple of posts after yours , shows that at £ 120K you will have 38% total tax and NI deducted from your salary. That seems very reasonable to me. What do you think ?
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plus the loss of personal allowance Tax free band, so you now pay income tax on the first £15k or so too, as well as 38% on the rest. Trust me, it’s an eye watering amount of tax and fiscal drag pulls more and more into it each year.
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The bottom line for taxation is does it raise more? If it's too high it doesn't, but it does satisfy the green-eyed.
In the UK the top 5% of earners (£80k+) pay 50% of the total income tax - that pays for hospitals, schools, pensions......
Back to the thread.
In the UK the top 5% of earners (£80k+) pay 50% of the total income tax - that pays for hospitals, schools, pensions......
Back to the thread.
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A few years ago I was on about £100k I paid something like £35k in tax and NI, which although it is a lot seems reasonable overall.
Going over the £100k mark, made me wonder whether I should drop some hours to go back under the £100k mark as the tax bill grows pretty quickly in comparison at that point
Biggest challenge in the UK is we tax income not wealth (but that's way off topic)
Going over the £100k mark, made me wonder whether I should drop some hours to go back under the £100k mark as the tax bill grows pretty quickly in comparison at that point
Biggest challenge in the UK is we tax income not wealth (but that's way off topic)
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Hey guys, yes the tax position in the UK is way off topic. Especially to those amongst us who probably will not have to worry about it for a long long time to come, if ever.
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It’s a dis-incentive to work harder and do well.
For example, GPs and consultants: look at how they avoided busting into this band by refusing to do any overtime (not forgetting the punative pension taxes which ironically were paid by the govt to keep them working!).
The US for example, does not have such a punative system, and far more generous tax bands.
Off-topic for sure!
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I think it is too high.
For example, in the US earning this $150k equivalent, you would take home around $120k, so a tax rate close to 20%.
The taxes there are also on spending, so spend more, pay more tax that way.
Unfortunately in the UK, redundancy pay is taxed above £30k, which isn't a huge amount.
You lose your job, the govt might gain!
For example, in the US earning this $150k equivalent, you would take home around $120k, so a tax rate close to 20%.
The taxes there are also on spending, so spend more, pay more tax that way.
Unfortunately in the UK, redundancy pay is taxed above £30k, which isn't a huge amount.
You lose your job, the govt might gain!