Resolutions for 2017?

[ukpartydj]

My tax thing is actually a serious one - I got hammered with a bill the other week as, alongside the teaching salary, I'm now very much in the 40% tax bracket. A first world problem by all means but it sucks to work my balls off and come away with the similar kind of take home as a sid charging buttons.

So - no more cheap gigs - if I'm going to end up paying out a fortune on gigs, I'm not starting off cheap, and ideally I'll pull in 5-10 more bookings per year off my own steam and push me far enough into the 40% bracket that the dunt isn't as hard to stomach next year.

Why don't you just buy stuff when you get close to the tax bracket? It costs about £6400 more if you go over... I'm sure you could invest and write it off against tax to keep below... Or are you that far over? Haha.

Also what kind of sid earns £30k? One that works 5 nights a week every week?

[Imagine]

Don't get me started.

Not meant to wind you up Peter. I'm all for staying in the same Travelodge next year and NOT going to the after-party. Like you, I'd rather drink proper beer and eat a curry. Who else is "IN"?????

Jim, have you ever seen what passes for entertainment on TV on a Saturday night? I'm considering paying people to let me do gigs!!

Me too. I was off last Saturday and again next Saturday (I'm doing Friday nights for some reason so not all bad). Strictly, X-Factor or reach for a razor blade...I need to work more Saturday nights...it was horrible!

I haven't even got a hot tub inside the house. With the cost of heating water, I'm lucky if I get a cold shower once a month, whether I need one or not.

OK Peter, be serious.
Jim, if you haven't already got one, I'd advise getting an accountant. They're always a good idea, especially if you already have a full time job paying a living wage or more. They'll tell you what you can offset against tax. Does the Disco need a nice shiny new van?

Eeeeee Lad...we're on t'same wavelength!

But...do you mean shiny as in bright yellow like yours?

In all seriousness though...a decent accountant is what's needed. I too (with the current full time job) hit that "magical" 40k threshold. And I'm actually in a bit of a dilemma which I need to discuss with said accountant. What's worse is the savings account. If I just did my FT job...no questions asked and taxed at standard rate. Because I work my gentleman veggies off and declare everything...my half of any interest is well and truly clobbered! (makes you wonder if it's worth being legit....note Steve...this is tongue in cheek!!!)

Is there a way of chucking the disco income into a pension without penalties?
Do I really need to buy more kit that I don't really need?

In 18 months, my situation will be a lot different. Until then though...I really don't want to be paying more than I need to

[DazzyD]

Why don't you just buy stuff when you get close to the tax bracket? It costs about £6400 more if you go over... I'm sure you could invest and write it off against tax to keep below... Or are you that far over? Haha.

Also what kind of sid earns £30k? One that works 5 nights a week every week?

At £60 a night, working every night would still see Sid £10k under the 40% bracket!

[Corabar Steve]

Not meant to wind you up Peter. I'm all for staying in the same Travelodge next year and NOT going to the after-party. Like you, I'd rather drink proper beer and eat a curry. Who else is "IN"?????

I could cheerfully have stayed in the pub.

[Imagine]

I could cheerfully have stayed in the pub.

Great minds think alike then Steve (although we really MUST work out how to get from Broad Street to New Street without taking two hours to get there next time.....it's either that or you and Angela head our way).

I've also got to get an ePipe instead of my massive eCig....it just looks classier
Do they make those things to work sub ohm?

[Corabar Steve]

Great minds think alike then Steve (although we really MUST work out how to get from Broad Street to New Street without taking two hours to get there next time.....it's either that or you and Angela head our way)

Or you stay where we did

I've also got to get an ePipe instead of my massive eCig....it just looks classier
Do they make those things to work sub ohm?

Not like mine, but there is this beast
http://www.smoktech.com/kit/guardian-iii-kit

I've got these 3
http://epuffer.co.uk/e-pipes/

[Steven]

Why don't you just buy stuff when you get close to the tax bracket? It costs about £6400 more if you go over... I'm sure you could invest and write it off against tax to keep below... Or are you that far over? Haha.

Also what kind of sid earns £30k? One that works 5 nights a week every week?

Not sure you understand how the tax brackets work, you only pay 40% on anything earned over the threshold not on the whole income. so if you earn £1 more than the threshold you pay 20% up to the threshold and then 40p on that extra £.

My resolutions this year is to stop letting my diary just be filled up by the res, get my new site live before new year this year and get at least 15 £350+ bookings through it.

And work a lot less.

[ukpartydj]

Not sure you understand how the tax brackets work, you only pay 40% on anything earned over the threshold not on the whole income. so if you earn £1 more than the threshold you pay 20% up to the threshold and then 40p on that extra £.

My resolutions this year is to stop letting my diary just be filled up by the res, get my new site live before new year this year and get at least 15 £350+ bookings through it.

And work a lot less.

You'd be correct, I thought going over the bracket meant you're charged at 40% for all income over the taxable income amount. That does seem fairer. Maybe I'm confusing it with VAT where going over on that would potentially cost more if only by a small amount.

I have quite the opposite problem, year on year I keep buying more and more to improve my business and I'm barely paying any tax... One day when I stop buying I'll get a nasty tax bill!

[funkymook]

I have quite the opposite problem, year on year I keep buying more and more to improve my business and I'm barely paying any tax... One day when I stop buying I'll get a nasty tax bill!

I’m sure we’ve all done that, but are the purchases really improving business if they're not bringing more revenue in?

[Nakatomi]

I’m sure we’ve all done that, but are the purchases really improving business if they're not bringing more revenue in?

Do what I did. As far as you can, estimate how much time you spend doing all your business. Take your profit & divide that by the work hours to arrive at your hourly rate.

A gross underestimate put my 1st tax year's earnings at under £3.50 an hour. Pretty awful but if you keep spending money to avoid paying tax you'll never make any money at all!

I'm not buying ANY more gear til next April unless something breaks catastrophically.