Tax and bank accounts

Saw on the news today that income tax is actually as follows:

Up to $9500 - 15%

$9501 - $38000 - 21%

$38001 - $60000 - 33%

$60001+ - 39.5%


Ouch!

Government are making noises about changing these tax thresholds though (thats what the news article was about), so fingers crossed!

[kiwi_fairy]

a couple questions :)

so basically instead of having to do yearly tax returns with the IRS (if you're in the US), you just get money deducted monthly from your account. That makes more sense. and less hassle. :P

does everyone have seperate bank accounts? when would it be profitable to have a joint account?

forgive my ignorance, but what's National Insurance?

Your employer pays your tax directly to the tax office, so you never get to see that money.

You can have an individual account, or a joint account with your partner, although I'm not sure what you would class as a 'profitable' account?!

National Insurance is something people pay in the UK, which is supposedly contributions towards your state pension.

[skybluearmy]

WHAT STATE PENSION :icon_mad:

Hence 'Supposedly' comment in last sentance!!

National Insurance also covers you for any unemployment benefit you may have to claim, or contribution based jobseekers allowance as they like to call it.

[kiwi_fairy]

Thank you, Taffy, for answering my questions. :)
now I have another one-- what other taxes besides income tax is there?

[Andyok]

I will have a Forces pension when I get to NZ.:icon_biggrin: I get taxed at source, will I have to pay tax again when it is transferred to NZ. :icon_frown:

Can I keep a UK bank account and use my Visa to buy stuff? :icon_twisted:

[Welshgirl]

Not sure about the pension/tax query sorry.... :icon_redface:

But with regards to a UK bank account, yes you can keep a UK bank account open (providing your bank are happy for you to do this, and you give them your NZ address!).
I also still have my UK Visa credit card (they accept Visa in NZ :icon_wink: ) - they are usually happy for you to run your account from abroad. The only problem I am encountering with it is paying it!! - whenever I have a payment to make, I have to transfer money from our NZ account to my UK bank account in order to pay the credit card in GBP, as they don't accept NZ dollars!!
HTH ::):

ack, sorry. :)

[quote:86e93224c0]Other things to consider is things like GST, the VAT equivalent. It is 12% in NZ and 17.5% in UK so tax on items purchased is less. Rates are also less than the UK. [/quote:86e93224c0]

I found that in another thread---what do GST and VAT stand for? I didn't find them in the abbreviations thread. 12% is really high for sales tax. :icon_eek: icon_exclaim.gif In my state we pay 7%.

I pretty much found the other stuff I was looking for ... thanks!

I think I'll be able to have my pension paid into my UK account, and then use my debit/credit card to buy things in NZ. :icon_twisted: Then each month my pension should pay it off. Is this legal, or will I get done for tax evasion and then thrown out of NZ. :icon_question: Life's somuch easier with internet banking :icon_lol: