Quote:
Originally Posted by Damien
Yes, financial literacy in this country is bad. Same with people who don't understand how tax bands work and assume you're better off not going into the 40% bracket.
I would ban donations and increase the salary, linking it to civil servant pay.
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I'm guilty, I didn't take too much notice of my pension pots until I hit 51. I pretty much kept paying in as much as I could afford to a mix of private and company group private schemes from the age of 20. I knew a few of the company schemes were rubbish, the original private scheme hadn't written to me for years, I contacted them and they sent an annual statement and I was shocked how well it was doing. At that point I took over handling the investments of my then company pension as a few others had, and it was the right decision.
I think that avoiding higher tax brackets depends on personal circumstances, for example if you are contracting inside IR35 paying 13.8% employers NI, Apprentice levy, 40% or 45% personal tax, 10% NI and having your personal allowance reduced your view may be different.