• 8 August 2022 01:44

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Millions Of People Will See More Money Going Into Their Bank On Pay Day This Week



Jul 26, 2022

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Millions of Brits will see more money going into their bank accounts on pay day this week. 

About 30 million workers will be able to keep more of their earnings thanks to the changes made to National Insurance (NI).

The move is expected to lower taxes by around £6 billion, meaning many workers will be seeing more money in the bank than before.

The government is hoping this move will help people struggling to deal with the cost of living crisis as skyrocketing inflation hand stagnant wages continue to put a financial squeeze onto many households.

According to the government, this change will save people earning more than £12,750 up to £330 a year, but the actual figure will depend on how much you make.

Today you can earn up to £9,880 before you need to begin paying NI, but as of midnight tonight that amount jumps up to £12,750.

Around 2.2 million people are going to be freed from having to pay NI entirely, while millions of others will be able to pay less, meaning more money in their pockets.

That won’t be the case for everyone, though, as people on higher salaries will end up paying more overall, but they’ll be feeling the squeeze less than the people who will benefit most from this.

Martin Lewis and his team at Money Saving Expert have made a payday calculator which you can use to see how much your monthly earnings will change.

Put simply, lower earners can expect to pay less NI and keep more of their earnings from midnight tonight while higher earners are in line to pay more.

Boris Johnson boasted previously that he was delivering on ‘the single biggest tax cut in a decade’, which is nice of him considering he’s put the tax burden on UK taxpayers to the highest point in 70 years.

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