should socialists go PAYE?

**NickFitz** · 14 October 2008, 00:26

Originally posted by contractor79 View Post

I keep hearing socialist/communist contractors saying how "the rich" (which is defined as "not me") should pay more taxes. (Yet they don't express a desire for lower paid workers to pay less.)

Well I'm all for people taking the initiative and giving a lead.

So shouldn't it be the case then that socialist/communist-minded contractors should declare themselves an employee, thus paying tax as PAYE and not a limited company. I'm tired of liberal-leftie contractors complaining about this country when they could be doing a bit more themselves to pay more tax. After all, they keep on demanding that other people pay more tax. I'm sure they wouldn't mind. However I don't know of any socialist/commie contractors who go PAYE voluntarily. Why would that be, hmm?

**d000hg** · 14 October 2008, 01:19

How is anyone working as a contractor not classing themselves as 'rich'... nearly all contractors must earn £40k+ which is pretty high outside of London.

I think definitely those on very high incomes should way lots of tax... 75% of everything over £100k sounds fair***

***until I get my £500/day rate of course.

**contractor79** · 14 October 2008, 01:36

Originally posted by d000hg View Post

How is anyone working as a contractor not classing themselves as 'rich'... nearly all contractors must earn £40k+ which is pretty high outside of London.

I think definitely those on very high incomes should way lots of tax... 75% of everything over £100k sounds fair***

***until I get my £500/day rate of course.

I've heard many a contractor on £400/day express rather extreme socialist/commie viewpoints yet themselves don't pay PAYE on those earnings.

**BrilloPad** · 14 October 2008, 06:07

Originally posted by d000hg View Post

How is anyone working as a contractor not classing themselves as 'rich'... nearly all contractors must earn £40k+ which is pretty high outside of London.

I think definitely those on very high incomes should way lots of tax... 75% of everything over £100k sounds fair***

***until I get my £500/day rate of course.

Exactly .

I think it was PG Barnum(of circus fame?) who said "when I was poor I said the rich should help the poor. now I am rich I say f**k them"?

**TheBigYinJames** · 14 October 2008, 06:29

Originally posted by contractor79 View Post

However I don't know of any socialist/commie contractors who go PAYE voluntarily. Why would that be, hmm?

Pleased to meet you.

**expat** · 14 October 2008, 06:50

Originally posted by contractor79 View Post

I keep hearing socialist/communist contractors saying how "the rich" (which is defined as "not me") should pay more taxes. (Yet they don't express a desire for lower paid workers to pay less.)

You keep hearing that? From whom? Any recent threads on here? Sounds like a straw man to me.

Were you logical, you would see an answer in your own phrase 'which is defined as "not me"'.

So shouldn't it be the case then that socialist/communist-minded contractors should declare themselves an employee, thus paying tax as PAYE and not a limited company. I'm tired of liberal-leftie contractors complaining about this country when they could be doing a bit more themselves to pay more tax. After all, they keep on demanding that other people pay more tax. I'm sure they wouldn't mind. However I don't know of any socialist/commie contractors who go PAYE voluntarily. Why would that be, hmm?

Hello there

To be more precise, you mean not taking some of their earned income as dividends, in order to escape NICs? Well, I don't, because it is simply earned income, not return on invested capital.

**deckster** · 14 October 2008, 07:20

Originally posted by d000hg View Post

How is anyone working as a contractor not classing themselves as 'rich'... nearly all contractors must earn £40k+ which is pretty high outside of London.

40k+ is rich now is it? I must tell my brother-in-law, who earns about 45k as a deputy head of a large school near Crewe. Now they're rich my sister can stop working nights at Asda just to make sure the mortgage gets paid.

**TheBigYinJames** · 14 October 2008, 07:36

Originally posted by deckster View Post

40k+ is rich now is it? I must tell my brother-in-law, who earns about 45k as a deputy head of a large school near Crewe. Now they're rich my sister can stop working nights at Asda just to make sure the mortgage gets paid.

40k IS rich, nobody forced him to take on a mortgage way above his income.

**expat** · 14 October 2008, 07:52

Originally posted by TheBigYinJames View Post

40k IS rich, nobody forced him to take on a mortgage way above his income.

Let me put this in perspective with a few figures:

1. http://calculator.contractoruk.com/
45k, even on single tax allowance 603L, gives net salary £2,710/month

2. Rent for 2 years at £600/month, save £833/month. This is the tighten-belt, saving phase: if you don't expect to have that in your life ever, you are thinking rich. It's not that bad.

3. After 2 years, buy a house: www.rightmove.co.uk
Crewe, 10 miles, max £140k.
2-bed bungalow or 3-bed semi, £140k. Deposit £20k.

4. get a mortgage: www.nationwide.co.uk
£120k, 25 years, monthly payment £809.

I.e. even with his wife not working at all, just 2 years saving will get a nice house that they can easily afford. That's pretty well off, actually.

should socialists go PAYE?