Yep, my effective tax rate is roughly 55% over the year
I've previously applied to go work in the US, particularly at Stripe. Basically got told unless I have something ridiculous (so they can get me an EB-1A) the waiting times for Visas is way too long.
I'm in the higher tax bracket and still I'm far away from that percentage. I see that >50% tax rate in Italy, which is the leading cause of tax evasion, with some actually moving their companies to the UK to pay less tax.
I'm nuking the student loan as fast as possible, especially with the interest rates being near extortion, so hopefully that will mean I get more take home in the future
45% Income Tax + 9% Student Loan Repayment (mandatory) + 3.25% National Insurance Contributions
Gives 57.25%, but this is off because:
- Student loan repayments start somewhere above 20k, which decreases it
- National insurance runs at 10.25% before going down above a certain income, which increases it
- Higher rate and basic rate apply to some income (but no tax free allowance), which decreases it
Hence to a round(ish) number roughly 55%
Also, you're not paying 45% income tax on the total amount right (that's the highest bracket in the UK).
Just get an O-1.
Wait time for the UK shouldn't be that long anyways.