On Sat, 30 Mar 2013 14:58:14 +0000, John Williamson wrote:

Then take into account the loss of certain benefits when you start
work. The tax rate at the bottom end of the scale can be well over
100%.

Yep, and it's not just hwat most may think as "benefits" as well. Most
working people with kids will be getting Child Tax Credit and possibly
Working Tax Credit. Those drop the more you earn. I've caught by that
one. Had a "good" year grossed someting like 3k more than the previous
year, following year the Tax Credits fell by more than 2k. Worked harder
got sod all extra in my pocket, why bother.

I suspect the same is going to happen this year, except the numbers are
bigger think I'm 10k up so I can see the WTC disappearing completely and
a halving in the CTC. Again work hard get sod all in the pocket...

When I broke my ankle and was on incapacity benefit and drawing on my
permenant health insurance my income didn't change and expenses dropped
as I wasn't driving all over the top end of the country. I suspect I was
better off financially by not being available for work...

--
Cheers
Dave.