Lots of accountants talk tax, very few specialise in advanced tax planning
The truth is that most people, including many accountants simply do not understand in detail the modern taxation system. As a result they stick to what they know, paying more and more tax every time they are told or asked to.
Year after year, the taxman decimates their hard-won income. That’s why it’s such a revelation when we chat with high earners that there are legal alternatives to just paying out more!
Who are you really working for?
When you are asked how much you earn, you will probably quote your gross income.
That’s fine, but is it really all yours? Of course it’s not, at every single period of your working life someone wants a slice and first in the queue is the taxman.
If you don’t get it right he will charge you a range of taxes on your income, your spending, on property you own, on transactions you make and when you die – he will tax it all over again.
On average it takes from January to May to pay off the taxman
And it doesn’t end there, next are bills including interest and repayments on any borrowing you have.
With borrowing at record levels it can take from June to October to earn enough to meet the repayments.
Leaving you with two months money for every 12 months you work.