3 ms·

This is a bit misleading, because on £120k salary the employer has to additionally pay £17k of employer's NI which comes from your salary budget. So in real ter

This is a bit misleading, because on £120k salary the employer has to additionally pay £17k of employer's NI which comes from your salary budget. So in real terms you make £137k and your take home is about 53% (and it's get worse as your pay goes up as you are losing personal allowance and your take home quickly becomes less than 50%). It does not account for Apprenticeship Levy. It's a quite nasty way for the government to hide the true level of taxation from employees.

maccard 4y ago
There's always a hidden cost. There's also the fact that on 120k an employer is required to contribute 3% and likely does so via salary sacrifice which changes the numbers again. The number I picked for California is also on the higher end, other states are lower again. All thats to say a direct general comparison isn't possible but it's not right to claim that the west has a higher tax burden either the numbers are dangerously close in many cases.
rowanajmarshall 4y ago
The UK handles this quite well, the same author as this post also wrote this: https://twitter.com/GergelyOrosz/status/1511394247500566533 https://twitter.com/GergelyOrosz/status/1511394247500566533