The Salary Calculator

A fresh start in the New Year?

by Admin

2014 has arrived, and for many people the start of a new year is a time to make a clean break with the past, and move on to new things. Often people join a gym, start a diet (after the excesses of the festive period!) – or look for a new job.

The new job could be a promotion at your current place of work, or a new opportunity elsewhere – and The Salary Calculator can help you as you consider your options. If you’re wondering what a new salary might mean for your monthly take-home, check it out on the take-home pay calculator. If you know how much you need each month and would like to know what kind of salary you should be looking for, try using the required salary calculator.

You might be considering supplementing your income not by getting a new job, but by being self-employed in your spare time. In which case, you can try out the tools at our sister site Employed and Self Employed, which will help you to see how your tax and National Insurance contributions will be affected by your additional income.

If you are making a new start in 2014, best of luck!

Tags: 2014, Employed and Self Employed, income tax, Jobs, national insurance, Pay As You Earn, self employed, The Salary Calculator

Becoming self-employed rather than un-employed

by Admin

I read an interesting article this morning on the BBC News website about the phenomenon of people who are unemployed deciding to become self-employed rather than keep looking for “traditional” employment. Apparently, a significant number of people have found that it is difficult to find a job, but that they have been able to start and run promising businesses themselves – something they have found much more fulfilling than taking Jobseeker’s Allowance.

Our sister site Employed and Self Employed has a tax calculator you can use to see how much tax and National Insurance would be deducted from self employment profits, if you are thinking of starting your own business. There is also a more complex calculator if you already have a job but are thinking of becoming self-employed in your spare time – you can work out how much of your profits you would be able to keep hold of.

If you are unemployed and thinking of starting your own business, you may be eligible for some funds from the government to help you get started. More information is available here about the New Enterprise Allowance.

Tags: careers, Employed and Self Employed, income tax, Jobs, NEA, New Enterprise Allowance, Pay As You Earn, self employed, The Salary Calculator, unemployment

Trying to live cheaply

by Admin

I was interested to read an article on the BBC news website today about the new benefits cap, which was trying to estimate how much money someone needs to be able to live (albeit cheaply). As well as some examples of how people can save a bit of money with cheaper options, it was interesting to me to see things that I wouldn’t necessarily have considered when trying to work out my weekly spend.

For example, they say that the average family spends £9.50 a week on furniture. Now, obviously, most people don’t buy a new piece of furniture each week, and I can’t remember the last time I did – but it is expensive and you will need to budget for some such purchases over the year. You might think that if you were living on a budget you just wouldn’t buy furniture, but it does wear out and does need to be replaced, even if it is replaced with a cheaper, second-hand equivalent.

Also clothing – not something I spend money on regularly, but if you have a job interview you will need a suit – and you’ll have to save for many weeks at a couple of pounds a week to afford it. Things like socks will wear out, shirts will get damaged – if every penny counts, it will be difficult to get replacements, even if you shop in budget shops.

Anyway, check out the link above to read the article in more detail. You might spot somewhere that you could economise!

Tags: benefits, debt, Economy, recession, recovery, unemployment

Why under employment bumps up insurance costs

by Admin

[Guest Post]

Unemployment in the UK has edged closer to the three million mark, and is at its highest level since 1996. As well as not having a regular source of income, unemployed drivers are more likely to be hit by higher payments for car insurance. Motorists who are out work are being advised to shop around for better deals on websites such as moneysupermarket.

An investigation carried out by the BBC revealed that car owners without a job are, on average, paying around 30% more for their insurance than motorists with full-time jobs, while their premiums are potentially 63% higher. There are a few reasons why unemployed drivers are seen as risky by some insurers.

Peter Harrison, an expert on motor insurance from MoneySupermarket explained why: “This is partly because unemployed people are more likely to use their cars during the day and to drive up and down unfamiliar routes to a job interview. Also, some insurers perceive a drop in financial security as a result of losing a job means someone in that situation is more likely to make a claim, hence the rise in the price of premiums”.

When out of work, your car is vital in helping you find a new job, but the impact of losing income means you might struggle to keep up with payments on credit cards and mortgages, which could hit your credit rating. A poor credit rating could also impact upon the price of car insurance. This is why it pays to look for the best deal possible.

With the help of a price comparison site like MoneySupermarket, you can find a car insurance deal which can save you much-needed cash, but there are other ways to help you keep the cost down at a time when you need to tighten your belt. Getting a new quote could save money, as it could go down every year (£2.4bn is wasted by motorists by accepting renewal quotes). Adding someone with more driving experience to your policy could also drive the cost down.

Reducing your mileage could prove helpful. As well as saving on fuel costs, your insurer could take notice and slash the cost of your policy. Keeping in touch with the insurer about your current circumstances is also a good way to save money. Telling them about losing your job as soon as possible is important, as failing to do so could invalidate your insurance.

Tags: car insurance, Economy, guest post, Insurance, unemployment

Election Comparison Calculator launched!

by Admin

With a general election now called for 6th May, the major parties have started campaigning and promoting their policies. All have policies related to taxation, and The Salary Calculator has tried to show you what their different policies may mean to you.

The Election Comparison Calculator aims to help you see the differences between the major parties’ policies on personal income. Using the information available, the calculator estimates how their policies would affect your take home pay. As described on the Election Comparison Calculator page itself, not all the details are available at the moment, and probably won’t be until the next government holds its first budget. However, the details they have provided allow the calculator to estimate what those changes would mean to you.

All the details used to create the calculator are available underneath the results. As explained in that description, the calculator considers PAYE changes – each party also has other economic policies which may affect you in other ways, such as stamp duty or inheritance tax. Some assumptions have had to be made – if you can help provide more detailed information then please contact us. So why not try the Election Comparison Calculator and see what you learn?

Tags: 50% tax, April 2010, Economy, election, income tax, national insurance, National Insurance, Pay As You Earn, pension, Pensions, personal allowance, recovery, tax rates, The Salary Calculator