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Take home pay again!

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    Take home pay again!

    Can someone check my calculations please? I’m using https://www.income-tax.co.uk/calculator/62500/

    If, er, my friend gets £62,500 after tax in benefits, Is the break even point for working (assuming employers NI is not included) around £105,000 a year = 450 per day ?

    The above site says it is, but I guess he would have to add a bit for the apprentice levy and umbrella fees?

    Assuming Employers’ NI was paid by the employer (crazy, I know) then he would be looking at £93,000 annually?

    If he wanted to make £20 an hour over benefits he’d need £800/day inside IR35?


    If I’ve got this completely wrong, just tell me the right figures rather than droning on about how much cleverer you are than me.

    TIA,

    Huge



    #2
    What do you mean by after tax in benefits?
    merely at clientco for the entertainment

    Comment


      #3
      Originally posted by eek View Post
      What do you mean by after tax in benefits?
      I mean if he currently gets around £78,000 in benefits and pays £15,500 tax on them leaving him with £62,500 to take home.

      Comment


        #4
        That is a lot of benefits.

        Do you mean income??

        Comment


          #5
          Originally posted by mallisarealperson View Post
          That is a lot of benefits.

          Do you mean income??
          Unemployment benefit - or you could call it an insurance payout if you like. Yes, it’s a lot.

          Comment


            #6
            Question is irrelevant.

            Tell your friend to get a job.

            Comment


              #7
              Originally posted by mallisarealperson View Post
              Question is irrelevant.

              Tell your friend to get a job.
              He’s trying. But if he does it will increase inequality, damage the environment, harm his client/employer.

              what is the reason for your suggestion?

              Comment


                #8
                Originally posted by hugebrain View Post

                He’s trying. But if he does it will increase inequality, damage the environment, harm his client/employer.

                what is the reason for your suggestion?
                Probably an assumption that the person in question is taking state benefits of a rather large amount that the poster thinks is not fair or reasonable.
                It might be a good assumption. It might be a bad assumption. It's still an assumption.

                I assume that to get 'benefits' as large as that it could be a pension. Maybe a clarification would help rather than allowing conclusions to be leapt to.
                See You Next Tuesday

                Comment


                  #9
                  Originally posted by Lance View Post

                  Probably an assumption that the person in question is taking state benefits of a rather large amount that the poster thinks is not fair or reasonable.
                  That assumption is correct (although the state makes a profit on the scheme, so you could argue that it’s fair, but it would be a stretch).

                  Not a pension.

                  But I would be grateful if someone could just check my sums for me. He just wants an idea of how low a salary it’s reasonable for him to take.

                  Comment


                    #10
                    This thread reminds of the C4 TV programme "Benefits Street"

                    Comment

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