Keeping aside tax money

[Clever Clogs]

Hi there

Just a quickie. Off your income, how much should we leave aside for income tax contributions - trying to work out my monthly income etc and not too sure if I should be leaving 20% or so aside?

Advice would be great.

Tracey

[sarah707]

Depends how much you are earning really.

The recommended amount is 20%, but if you are really low income and there's no way you will pay tax, then the temptation is to spend it.

What I would say is to still put it away and think of it as a nest egg in case a child leaves... or to buy something new when you've done your books in April. :D

[Clever Clogs]

Good idea

Think I will go with that - what a nice little nest egg it could become if I don't need to pay it.

Tracey

[louise]

Hi, I've always kept some back but i have been self and employed from when i started minding so i knew i may have to pay tax. Its great by rough working out we have saved an extra £400 this year so we are getting a new hall carpet and a few other bits.

Lou

[devoncm]

ive been thinking about this lately, although at the moment it seems i will never earn enough to pay tax-you never know, so im going to start to put about £10 a week of whatever i get from each child by.

[LittleMissSparkles]

oooopppsssss knew I'd forgot to do something !!! :laughing: :laughing: :laughing:

[bubbly]

I've started putting away 20% in this new tax year but didn't put quite as much for last year's. Like people say, hopefully I'll end up with a little nest egg. That's if I have any mindees left to mind. Recent events make me think I'll soon be mindeeless.

[bubbly]

^ Thanks Kirsty, that's really helpful. I've saved a copy to use as a guide.

[jessie1]

Thats very helpful, I have saved a copy as well

[sarah707]

That is really useful! Thank you Kirsty :D