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Post by perrykneeham on Jul 9, 2019 7:23:25 GMT
What, no third villa in Tuscany this year?
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Post by Repat Van on Jul 9, 2019 7:32:56 GMT
Or even the private schools, piano lessons, private tutors, holiday overseas need to go. Or the dependent spouse needs to get a job outside the home etc.
Anyway good to see it's not just Aussies who love chopping down tall poppies.
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Post by perrykneeham on Jul 9, 2019 7:50:04 GMT
Well, if they're taking more than their fair share of resources .....
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Post by perrykneeham on Jul 9, 2019 8:07:24 GMT
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Post by Repat Van on Jul 9, 2019 8:17:16 GMT
Well, if they're taking more than their fair share of resources ..... Going to private school is more than their fair share of resources? Huh? |
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Post by perrykneeham on Jul 9, 2019 8:18:22 GMT
Who said that?
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Post by Repat Van on Jul 9, 2019 8:18:26 GMT
I just threw up in my mouth. |
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Post by perrykneeham on Jul 9, 2019 8:19:57 GMT
Old and ugly, but he's got a huuuuuuuuuge pension pot.
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Post by Repat Van on Jul 9, 2019 8:40:33 GMT
Well she is a nurse so maybe that nurturing, wiping people’s arses bit is something she really enjoys.
He’s not even all that ugly to be fair - just normal. But so old! (In comparison). I never get wanting to date somebody you will have to care for when you’re still young.
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Post by Minge är en jävla besserwisser on Jul 9, 2019 9:24:58 GMT
Or even the private schools, piano lessons, private tutors, holiday overseas need to go. Or the dependent spouse needs to get a job outside the home etc. Anyway good to see it's not just Aussies who love chopping down tall poppies. I don't quite understand your point. If they don't want to work overtime because they lose tax relief on their pensions and they can't afford that sh*t, that's a choice they make. Same as everybody else. Same for a banker with a big bonus. They've always got the option to work overtime and pay for it just not pay into the pension. |
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Post by Repat Van on Jul 9, 2019 10:46:48 GMT
Or even the private schools, piano lessons, private tutors, holiday overseas need to go. Or the dependent spouse needs to get a job outside the home etc. Anyway good to see it's not just Aussies who love chopping down tall poppies. I don't quite understand your point. If they don't want to work overtime because they lose tax relief on their pensions and they can't afford that sh*t, that's a choice they make. Same as everybody else. Same for a banker with a big bonus. They've always got the option to work overtime and pay for it just not pay into the pension. They don’t want to do extra shifts because of the potential tax bill. My point was relating to you saying it’s inaccurate to say “they can’t afford it”. It depends on what their outgoings are and the effect of said tax bill on their income. The link suggests that there are limited means to avoid the tax bill and in many cases it makes more sense not to work the extra shifts. Which seems reasonable to me. |
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Post by Repat Van on Jul 9, 2019 10:51:35 GMT
“But those near the threshold have few options to avoid the impact, other than reducing their hours, quitting the NHS pension scheme or taking early retirement”
Of those options taking early retirement is not an option if you wish to continue working. Quitting the scheme may avoid the tax charge in that scheme but does not suggest you will have an incentive to pay into a private scheme. So option 1 makes sense.
I just don’t get why they’re being criticised to be honest. Seems like a rational choice to me.
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Post by Minge är en jävla besserwisser on Jul 9, 2019 10:55:03 GMT
“But those near the threshold have few options to avoid the impact, other than reducing their hours, quitting the NHS pension scheme or taking early retirement” Of those options taking early retirement is not an option if you wish to continue working. Quitting the scheme may avoid the tax charge in that scheme but does not suggest you will have an incentive to pay into a private scheme. So option 1 makes sense. I just don’t get why they’re being criticised to be honest. Seems like a rational choice to me. Scheme pay. |
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Post by Minge är en jävla besserwisser on Jul 9, 2019 11:12:21 GMT
I don't quite understand your point. If they don't want to work overtime because they lose tax relief on their pensions and they can't afford that sh*t, that's a choice they make. Same as everybody else. Same for a banker with a big bonus. They've always got the option to work overtime and pay for it just not pay into the pension. They don’t want to do extra shifts because of the potential tax bill. My point was relating to you saying it’s inaccurate to say “they can’t afford it”. It depends on what their outgoings are and the effect of said tax bill on their income. The link suggests that there are limited means to avoid the tax bill and in many cases it makes more sense not to work the extra shifts. Which seems reasonable to me.
they cannot afford to work extra shifts. is the exact quote. if their outgoings are huge they can't afford not to work extra shifts. |
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Post by Repat Van on Jul 9, 2019 13:17:24 GMT
They don’t want to do extra shifts because of the potential tax bill. My point was relating to you saying it’s inaccurate to say “they can’t afford it”. It depends on what their outgoings are and the effect of said tax bill on their income. The link suggests that there are limited means to avoid the tax bill and in many cases it makes more sense not to work the extra shifts. Which seems reasonable to me.
they cannot afford to work extra shifts. is the exact quote. if their outgoings are huge they can't afford not to work extra shifts. Depends on the pay scale for the extra shifts and the tax bill. It says the problem is it takes their entire income into account. So if they say they can’t afford it, they can’t afford it. |
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Post by jimboky on Jul 9, 2019 13:27:27 GMT
They, I guess can afford to work extra shifts, only they will not get to keep any of the extra pay they would generate,
great plan,
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Post by Minge är en jävla besserwisser on Jul 9, 2019 13:44:45 GMT
they cannot afford to work extra shifts. is the exact quote. if their outgoings are huge they can't afford not to work extra shifts. Depends on the pay scale for the extra shifts and the tax bill. It says the problem is it takes their entire income into account. So if they say they can’t afford it, they can’t afford it. It takes their entire income into account when calculating the pension allowance. all they have to do is opt out of the pension and no tax bill or elect for the scheme to pay the tax bill for them. They get massive pensions funded by the tax payer and tax relief at their highest rate funded by the tax payer. They are just whining because it's been capped. |
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Post by perrykneeham on Jul 9, 2019 14:35:37 GMT
Surely you have to earn it to be taxed on it?
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Post by Minge är en jävla besserwisser on Jul 9, 2019 15:37:22 GMT
Works like a company car. effectively if the company pays too much into your pension it's treated like a benefit in kind and generates a tax bill.
The issue comes because you can normally pay 40kpa into a pension but if you earn over £150k the allowance reduces. So if you earn £150k basic and do £50k overtime your allowance comes down to £10k. So if the NHS have paid £20k into the pension you've overfunded by £10k and get a £4k tax bill.
You either don't take the benefit or get the scheme to pay the tax internally or pay the tax bill and have a massive massive guaranteed inflation linked pension paid for by the tax payer.
My heart is hardly bleeding.
JV's an accountant surely, she must know about this sh*t.
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Post by hammerhead on Jul 9, 2019 18:43:19 GMT
They get massive pensions funded by the tax payer and tax relief at their highest rate funded by the tax payer. They are just whining because it's been capped. Perhaps they need you to be advising them. On R4 today there were some surgeons/consultants talking about this and they didn't seem to be idiots, or whining either. They're reducing their hours or taking early retirement because it's financially beneficial, or at least that's what they believe (hence maybe the need for advice). I've also been in a position of making no more money by working extra hours. It's not relevant to this thread as it was related to capped benefits paid by my employer, not tax. The end result was the same though, I worked fewer hours <shrug> |
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