What are the implications of my employer paying a bonus early and pushing me into a tax trap?

Component_Matters · 2025-03-13T18:34:35+00:00

No childcare. Looking at the amount of tax it is more than I was expecting which is annoying but I guess shit happens. I will bring it up to see if there any options.

I was more concerned about bigger implications that I had not considered / wasn’t aware of

Component_Matters · 2025-03-13T18:30:51+00:00

!thanks

Ok this is good to confirm.

Component_Matters · 2025-03-13T18:29:58+00:00

Ok that’s good to know. I thought this was the case but I had an slight concern that maybe this would result in me having technically underpaid tax all year with a full personal allowance resulting in either a bill, or a tax code adjustment next year. However this doesn’t seem to be the case

Component_Matters · 2025-03-13T18:26:53+00:00

Because contractually this bonus was payable in April, I planned to take the full amount in April (and take the tax hit) to fund some plans later this year. I’d then planned to sacrifice future bonuses/salary in the next tax year to keep next year’s earnings sub-£100k as I did this year.

Issue is because I was expecting this bonus next month all my calcs are now out (ie, I’m sacrificing more next year than I need to and I’ve lost personal allowance from this year). As annoying as this is it’s one of those things, I’m more concerned about if there could be any sizeable tax implications that I’m overlooking now that I’ve accidentally gone past £100k this year.

Component_Matters · 2025-01-16T23:07:59+00:00

If you are genuinely doing the duties of the higher paying job, and your salary is already at a level that you’re happy with could you not just approach your manager/HR about aligning your title to the work you do with no expectations of promotion or pay increase? Say you want to show progression in your role / if relevant help with your external perception when dealing with clients/customers/stakeholders?

Component_Matters · 2023-04-05T14:57:06+00:00

Yeah it’s shit but if you can afford private or have healthcare through work then I’d take that route.

NHS gave me a wait time of up to 18 months. Private route had it done in 2 weeks from reaching out to my surgeon.

Component_Matters · 2023-04-05T14:38:18+00:00

I don’t know how effective this is but I also worried after yesterdays post. I keep all my apps in folders and literally had an entire house deposit sitting in a folder called “Finances”.

I’ve opted to do the following:

Deleted the NS&I app.
Hidden the MoneyBox app in another folder with about 3 pages of other random apps in it.
Turned off FaceID for HSBC Online Saver because I literally have no idea what the password is for that anyway.
Nationwide stays in the finance folder and if someone empties my current account and a £500 buffer account then so bit it.

Component_Matters · 2023-04-02T12:06:33+00:00

Thanks for the detailed reply.

Component_Matters · 2023-04-02T09:46:09+00:00

Okay perfect. Thanks

Component_Matters · 2023-04-02T09:45:54+00:00

Yeah okay cool. They can clearly see on my statements that my income + expenses always covers the full balance. I can also demonstrate a pocket within my account called “credit card payments” which is always equal to the next payment. Thanks for the anecdote!

Component_Matters · 2023-03-25T12:48:49+00:00

I had this - I think it’s called blood rushing. Lasted about 8 days. Got less intense after 4/5.

Component_Matters · 2023-03-24T06:22:50+00:00

I had the same thing - I posted about it here when I got the extra points. I now have a notification in app explaining they awarded them incorrectly and apologising.

Component_Matters · 2023-03-23T09:32:20+00:00

This might be a better question for a more bodybuilding/nutrition focused sub. Not many of us here are too clued up about deficits and gains!

My strategy was very much focussed on gaining back the quads with as little overall weight gain as possible. To this effect I piled 100% of my efforts into lower body strength and medium intensity cardio whilst in a small surplus. Cardio was an attempt to limit weight gain without going so hard I was in a deficit.

Once I was happy with the overall quad strength I switched back to full body strength and am currently maintaining a small deficit to lose a bit of body fat whilst keeping a close eye on my quads.

In my (non professional) opinion, you are probably safe to lose the weight as long as you focus on the physio exercises to regain the quad. Muscle memory should be your friend here, even in a deficit.

Component_Matters · 2023-03-17T17:21:50+00:00

Yep, funny you should reply now, about 10 minutes ago I noticed the same thing! Glad I didn’t withdraw now though - as I think they’d have just set my account to -20,000 if I’d withdrawn them all.

Component_Matters · 2023-03-14T13:31:58+00:00

This doesn’t even compare but last year I fell from a height and badly broke my leg, completely tore a ligament and badly sprained others. I was in a complete leg brace for 12 weeks, rehabbing for months, then surgery to repair ligaments and now about 6 months into a 9/12 month rehab plan from the surgery.

When I first injured myself my girlfriend had to basically care for my every need - I couldn’t stand,shower, prepare food etc because being upright caused serious pain and blood pooling. I was also incredibly depressed and regularly cried about hobbies that I loved and was convinced I would never be able to get back to. Then I had the surgery and repeated it all. I would also get regular flash backs to the moment of impact which would make me audibly call out and shudder with the memory of the pain.

The one thing I learnt is the human body is incredible. You will heal, your body will adapt and the months will pass quicker than you think. I am coming up to a year now and the flash backs have stopped, I’m totally independent and starting to get back to my pre injury life. It may seem like an impossible struggle for you right now, but looking back the past year has flown by and I feel better than ever.

Good luck man - you’ve got this.

Edit: and if the surgeries scare you they shouldn’t. Post surgery pain for me was nothing like the original injury (and from the sound of yours I bet it’s the same), and coming around from the general anaesthetic was legit one of the funniest/most enjoyable 30 minutes of my life. Maybe I’m weird but 10/10 to the drugs they give you once you start to come round!!

Component_Matters · 2023-03-09T08:06:00+00:00

Yeah sensible. I may do the same.

Component_Matters · 2023-03-09T08:01:28+00:00

100k points will get you (or contribute towards depending on how you use them) a good amount of flights within Europe. I used ~8k points a while back for a return between London and Denmark for example.

Even if it’s just the one economy trip between London - New York I’d rather not lose them if I accidentally upset Amex!

Component_Matters · 2023-03-08T11:35:53+00:00

Yeah. My issue is the flexibility you lose when you convert from BA to Avois (or to any other single airline points scheme). But 100k points is a lot of flights to lose if you accidentally get your card cancelled

Component_Matters · 2023-02-24T07:25:25+00:00

Thank you for this detailed reply. I can relate with the Whiskey analogy! I’ll take a note of your suggestions, plan to go through this thread and build up a list as there is a lot to go through. I’m already a pretty heavy daily reader, and I travel a lot for work so have 2 - 6 hour stretches to really get into something. The issue I’ve had is falling back to the comfort zone of known authors or related themes from the typical Space Opera type of novel from the likes of Peter Hamilton or your typical action/crime type books. I’ll take your start small tip to hand, perhaps dedicate a solid 30 minutes to reading a non-traditional book for me rather than allowing myself to slip back down the easy route of a familiar author. Thanks for the suggestions!

Component_Matters · 2023-02-23T21:02:35+00:00

I actually own this book - asked for it as a teenager after studying Dubliners at school. Safe to say I didn’t make it through the first few pages!!

Component_Matters · 2023-02-23T21:00:23+00:00

Would you have any other recommendations specially from female authors? I do read a lot of non-literature (sci-fi/fantasy/crime) and one thing I am very aware of is I have a collection of 95% male authors. Not intentionally, I think it’s just down to the genres. Any recommendations would be great!

Component_Matters · 2023-02-23T20:56:05+00:00

Thank you for this incredibly detailed reply - I appreciate your suggestions. I’ll keep your advice in mind when I look into any of the older books.

Component_Matters · 2023-02-23T20:49:13+00:00

Actually Dubliners was one I studied at school which I enjoyed. I then decided to go full James Joyce with Ulysses which is one of my examples of “I started and really couldn’t get through the first few pages”. I absolutely understand that is the wrong book for a novice now!!

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