Child benefit - Axed for top earners

anna matronic · Oct 4th, 2010, 01:50 AM

So the government have decided to axe child benefit for higher tax bracket earners from 2013. George Osbourne states this will effect earners with a salary of over 44 grand.

Two points:

1) What if you have a combined income of over 44 grand, so you take homr 60 grand but neither are in the higher tax bracket? Not fair on the single parent?????

2) Is that fair for for those who might live in say London? Wages are higher because standard of living costs more (mortgages/rent etc) Someone doing my job in London will earn around 6 grand more than me, but this doesn;t cover the increase in living costs.

Thoughts?

ayh78 · Oct 4th, 2010, 01:56 AM

I know something's got to give to get us out of this financial mess, but as usual the message is clear - work and try hard to better yourself, pay more taxes and get very little back.

And my husband made a valid point - what if you occassionally end up in the higher bracket because of working overtime? Would you occassionally get CB?!

For your point one, I would guess they would take the household income and work it out from that.

kaylz · Oct 4th, 2010, 02:00 AM

This is confusing because the announcement was that 'higher rate taxpayers' would lose child benefit, whereas the media are saying 'households with an income over £44K' - which isn't necessarily the same thing if both parents work and bring home, say £22K each.

Wish they would go after the bankers and tax dodgers who really ARE high earners and leave hard working people alone!

Oh, and meanwhile, high earning pensioners still receive the winter fuel allowance whether they are living in poverty or a millionnaire! How is that fair?!

anna matronic · Oct 4th, 2010, 02:04 AM

Just been on BBC : One or more parent earning top rate tax.

So if two parents earn just under the higher rate tax, they are damn lucky.

Not fair on a single parent family or a family who only one parent works.

kaylz · Oct 4th, 2010, 02:10 AM

Quote:

Originally Posted by anna matronic

Just been on BBC : One or more parent earning top rate tax.

So if two parents earn just under the higher rate tax, they are damn lucky.

Not fair on a single parent family or a family who only one parent works.

Totally agree. You could have a family earning £86K (£43K each parent) still getting child benefit, whereas an individual parent who supports their family and earns £45K would lose it. I'm not saying the principle of high earners losing it isn't right, just that it seems a very unfair way of doing it.

anna matronic · Oct 4th, 2010, 02:14 AM

Also, wouldn't someone earning 45k bring home less than someone earning 43k as they would pay more tax and NI.

Really unfair in so many ways. I understand cuts need to be made, although I am sick of how many people (families especially) are being fucked over and the unfair way that is being implemented.

ladykara · Oct 4th, 2010, 02:14 AM

I can see it causing major problems, i do agree that there are people who really dont need that child benefit..and something does have to be done about it to save money.

but 44k for a combined wage for a family living in london doesnt stretch that far with the cost of living... take into account child care.. some people would be better off cutting their hours down just to keep under the 44k bracket.

i work part time and OH full time both work for the emergancy services, both work in london (we have no choice with our jobs)... we could be effected unless i cut my hours down... but only by a hour a week.. thats how stupid it is.... but i would get more if i work less..

44k a year used to be a lot years ago... not any more not with the cost of living so high...

Mum2BeJodi · Oct 4th, 2010, 02:24 AM

I've just saw this on BBC as well, but still don't quite understand it. If there are two people in the household and one earns more than 44 and the other doesnt do they still get child benefit??

It's really annoying as they have changed the child tax credits from next year as well which makes us miss out on that because hubby makes just at the bordline of it. It's really annoying. I wonder if it would be better to make less money as you would be better off by getting some money from the government.

EverythingXd · Oct 4th, 2010, 02:28 AM

It just seems so wrong that the people who pay in the most never get anything back

No wonder so many people have the attitude "what's the point of going to work when I'm better off staying at home?" I work self-employed as well as employed & have been working around 100 hours a week for the last 3 years. Fair enough I might not "need" child benefit but I've worked so hard & now when I wanted to be able to take my foot off the pedal a bit to enjoy my child I feel like I deserve to get something back to help me do that.

starlove123 · Oct 4th, 2010, 02:48 AM

Quote:

Originally Posted by EverythingXd

It just seems so wrong that the people who pay in the most never get anything back

No wonder so many people have the attitude "what's the point of going to work when I'm better off staying at home?" I work self-employed as well as employed & have been working around 100 hours a week for the last 3 years. Fair enough I might not "need" child benefit but I've worked so hard & now when I wanted to be able to take my foot off the pedal a bit to enjoy my child I feel like I deserve to get something back to help me do that.

I completely agree with this!! Most of earn a decent wage because we trained & worked bloody hard. When we want to take maternity leave & enjoy our babies for a while, knowing that we will be returning to work at some point, why can't the government support that? We've paid into the system and we fully intend to keep doing so.

This twenty-odd pounds a week may not be entirely life changing for us like it might be for others, but bloody hell, don't we deserve it?? Whether we choose to take it from the system would be another matter, but between me and OH each month when I was working full-time, we were losing £1,200 a month in tax.

Oct 4th, 2010, 01:50 AM	#1
anna matronic BnB Addict Mummy to Evan :-) Join Date: Apr 2010 Location: East Sussex Country: Posts: 6,774 Thanked others: 689 Thanked 2,108 times in 1,781 posts Currently Feeling:	Child benefit - Axed for top earners So the government have decided to axe child benefit for higher tax bracket earners from 2013. George Osbourne states this will effect earners with a salary of over 44 grand. Two points: 1) What if you have a combined income of over 44 grand, so you take homr 60 grand but neither are in the higher tax bracket? Not fair on the single parent????? 2) Is that fair for for those who might live in say London? Wages are higher because standard of living costs more (mortgages/rent etc) Someone doing my job in London will earn around 6 grand more than me, but this doesn;t cover the increase in living costs. Thoughts? __________________
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Oct 4th, 2010, 01:56 AM	#2
ayh78 Chat Happy BnB Member Mummy of 2! Join Date: Oct 2009 Location: Nottingham, UK Country: Posts: 1,302 Thanked others: 545 Thanked 377 times in 326 posts Currently Feeling:	I know something's got to give to get us out of this financial mess, but as usual the message is clear - work and try hard to better yourself, pay more taxes and get very little back. And my husband made a valid point - what if you occassionally end up in the higher bracket because of working overtime? Would you occassionally get CB?! For your point one, I would guess they would take the household income and work it out from that. __________________ Last edited by ayh78; Oct 4th, 2010 at 01:56 AM..
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Oct 4th, 2010, 02:00 AM	#3
kaylz Active BnB Member Join Date: Jun 2009 Country: Posts: 570 Thanked others: 303 Thanked 227 times in 152 posts Currently Feeling:	This is confusing because the announcement was that 'higher rate taxpayers' would lose child benefit, whereas the media are saying 'households with an income over £44K' - which isn't necessarily the same thing if both parents work and bring home, say £22K each. Wish they would go after the bankers and tax dodgers who really ARE high earners and leave hard working people alone! Oh, and meanwhile, high earning pensioners still receive the winter fuel allowance whether they are living in poverty or a millionnaire! How is that fair?! __________________ Last edited by kaylz; Oct 4th, 2010 at 02:03 AM..
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Oct 4th, 2010, 02:04 AM	#4
anna matronic BnB Addict Mummy to Evan :-) Join Date: Apr 2010 Location: East Sussex Country: Posts: 6,774 Thanked others: 689 Thanked 2,108 times in 1,781 posts Currently Feeling:	Just been on BBC : One or more parent earning top rate tax. So if two parents earn just under the higher rate tax, they are damn lucky. Not fair on a single parent family or a family who only one parent works.
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Oct 4th, 2010, 02:14 AM	#6
anna matronic BnB Addict Mummy to Evan :-) Join Date: Apr 2010 Location: East Sussex Country: Posts: 6,774 Thanked others: 689 Thanked 2,108 times in 1,781 posts Currently Feeling:	Also, wouldn't someone earning 45k bring home less than someone earning 43k as they would pay more tax and NI. Really unfair in so many ways. I understand cuts need to be made, although I am sick of how many people (families especially) are being fucked over and the unfair way that is being implemented.
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Oct 4th, 2010, 02:14 AM	#7
ladykara BnB Addict Join Date: Jan 2010 Location: london Country: Posts: 2,782 Thanked others: 1,166 Thanked 987 times in 824 posts Currently Feeling:	I can see it causing major problems, i do agree that there are people who really dont need that child benefit..and something does have to be done about it to save money. but 44k for a combined wage for a family living in london doesnt stretch that far with the cost of living... take into account child care.. some people would be better off cutting their hours down just to keep under the 44k bracket. i work part time and OH full time both work for the emergancy services, both work in london (we have no choice with our jobs)... we could be effected unless i cut my hours down... but only by a hour a week.. thats how stupid it is.... but i would get more if i work less.. 44k a year used to be a lot years ago... not any more not with the cost of living so high... __________________
Status: Offline

Oct 4th, 2010, 02:24 AM	#8
Mum2BeJodi Active BnB Member Proud Mummy Join Date: May 2010 Location: Waltham Abbey, Essex (England) Country: Posts: 657 Thanked others: 15 Thanked 103 times in 97 posts Currently Feeling:	I've just saw this on BBC as well, but still don't quite understand it. If there are two people in the household and one earns more than 44 and the other doesnt do they still get child benefit?? It's really annoying as they have changed the child tax credits from next year as well which makes us miss out on that because hubby makes just at the bordline of it. It's really annoying. I wonder if it would be better to make less money as you would be better off by getting some money from the government. __________________
Status: Offline

Oct 4th, 2010, 02:28 AM	#9
EverythingXd Chat Happy BnB Member Can't wait to meet #2 Join Date: Mar 2010 Location: UK Country: Posts: 1,329 Thanked others: 434 Thanked 541 times in 456 posts	It just seems so wrong that the people who pay in the most never get anything back No wonder so many people have the attitude "what's the point of going to work when I'm better off staying at home?" I work self-employed as well as employed & have been working around 100 hours a week for the last 3 years. Fair enough I might not "need" child benefit but I've worked so hard & now when I wanted to be able to take my foot off the pedal a bit to enjoy my child I feel like I deserve to get something back to help me do that. __________________
Status: Online

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