On 2024-07-11 15:13:47 JP82 said:
On 2024-07-11 14:56:47 RickyTan said: On 2024-07-11 14:43:11 Hazel Arabia said: On 2024-07-11 14:14:19 voete2006 said: A lot of these providers plead poverty, but if they can see one client a day for 21 days at R1.5k that is R31.5k per month tax free. Hardly a kings ransom, but plenty to live a half decent life and support one or two children. Most people in our country make do with much less than that for entire families.
"Tax free!" he says, as if we don't have to pay venues, hotels, advertising platforms, etc etc etc. Also very telling, thinking us SPs need to be working every day for 31 days, as if we dont get sick/need off days for whatever reason.
Technically he is 100% correct. He didn't say "expense free". Yes you do have expenses, but unlike the owner of a hair salon that also pay expenses like electricity, water, rent, levies, salaries, shampoos, equipment, etc, who then has to pay income and other taxes on top of that, you don't have tax to contend to. Even people in normal jobs have expenses like travelling costs, work attire etc. and some of us pay as much 45% tax. So for every R100 that you make R45 goes to the government, give or take. The lowest income tax rate is 18% which is about a fifth of your money and from there it jumps to more than a quarter (26%). Imagine you have to pay income tax of say 36% on top of your current expenses. So don't underestimate what a benefit it is that you have being able to hide your income from government.
Just a minor correction - 45% is the top *marginal* rate. i.e. you only pay that when your income is above R1.8m (roughly) *AND* you only pay that on the portion of your income that exceeds R1.8m - so if your income is R2m pa, you only pay 45% on the last 200k, before that you pay amounts according to the various brackets (e.g 18% on R1 to R237100, 26% on R237101 to R370500, 31%...etc) so for everyone above the first bracket the effective rate that they actually pay is always lower than their marginal rate
@JP82, I understand how tax brackets work, but this is a sex site so I simplified my explanation for the sake of argument.
On 2024-07-13 08:34:34 BurningMan said:
Perhaps we should start a pussy price index.
Best idea so far ;-)
Ps...
"Why did the economists give his MG a bad review?"
"Because she used the invisible hand"
On 2024-07-11 15:29:08 Hazel Arabia said:
On 2024-07-11 14:56:47 RickyTan said: On 2024-07-11 14:43:11 Hazel Arabia said: On 2024-07-11 14:14:19 voete2006 said: A lot of these providers plead poverty, but if they can see one client a day for 21 days at R1.5k that is R31.5k per month tax free. Hardly a kings ransom, but plenty to live a half decent life and support one or two children. Most people in our country make do with much less than that for entire families.
"Tax free!" he says, as if we don't have to pay venues, hotels, advertising platforms, etc etc etc. Also very telling, thinking us SPs need to be working every day for 31 days, as if we dont get sick/need off days for whatever reason.
Technically he is 100% correct. He didn't say "expense free". Yes you do have expenses, but unlike the owner of a hair salon that also pay expenses like electricity, water, rent, levies, salaries, shampoos, equipment, etc, who then has to pay income and other taxes on top of that, you don't have tax to contend to. Even people in normal jobs have expenses like travelling costs, work attire etc. and some of us pay as much 45% tax. So for every R100 that you make R45 goes to the government, give or take. The lowest income tax rate is 18% which is about a fifth of your money and from there it jumps to more than a quarter (26%). Imagine you have to pay income tax of say 36% on top of your current expenses. So don't underestimate what a benefit it is that you have being able to hide your income from government.
Touche. I do 100% value the pros of not having to pay tax. I also know that there are downsides. Remember how during the pandemic everyone else lived off UIF and savings? Money earned does not = income, so yes - a provider can "plead poverty" just due to the fact that THE ECONOMY HAS GONE TO SHIT (hint: original topic).. More expenses, coupled with the inability to raise rates to account for them, means that everyone suffers, even businesses with a higher income can be making little to no profit.
UIF is a joke and you'll know if you ever had to apply for it. You contribute for years and basically get nothing. In any event it's not available to businesses such as my hair salon example.
On 2024-07-13 08:54:45 RickyTan said:
On 2024-07-11 15:13:47 JP82 said: On 2024-07-11 14:56:47 RickyTan said: On 2024-07-11 14:43:11 Hazel Arabia said: On 2024-07-11 14:14:19 voete2006 said: A lot of these providers plead poverty, but if they can see one client a day for 21 days at R1.5k that is R31.5k per month tax free. Hardly a kings ransom, but plenty to live a half decent life and support one or two children. Most people in our country make do with much less than that for entire families.
"Tax free!" he says, as if we don't have to pay venues, hotels, advertising platforms, etc etc etc. Also very telling, thinking us SPs need to be working every day for 31 days, as if we dont get sick/need off days for whatever reason.
Technically he is 100% correct. He didn't say "expense free". Yes you do have expenses, but unlike the owner of a hair salon that also pay expenses like electricity, water, rent, levies, salaries, shampoos, equipment, etc, who then has to pay income and other taxes on top of that, you don't have tax to contend to. Even people in normal jobs have expenses like travelling costs, work attire etc. and some of us pay as much 45% tax. So for every R100 that you make R45 goes to the government, give or take. The lowest income tax rate is 18% which is about a fifth of your money and from there it jumps to more than a quarter (26%). Imagine you have to pay income tax of say 36% on top of your current expenses. So don't underestimate what a benefit it is that you have being able to hide your income from government.
Just a minor correction - 45% is the top *marginal* rate. i.e. you only pay that when your income is above R1.8m (roughly) *AND* you only pay that on the portion of your income that exceeds R1.8m - so if your income is R2m pa, you only pay 45% on the last 200k, before that you pay amounts according to the various brackets (e.g 18% on R1 to R237100, 26% on R237101 to R370500, 31%...etc) so for everyone above the first bracket the effective rate that they actually pay is always lower than their marginal rate
@JP82, I understand how tax brackets work, but this is a sex site so I simplified my explanation for the sake of argument.
OK. But "simplifying" to the point of being not just inaccurate but actually wrong, kinda undermines the argument you're making. Nobody pays "R45 of every R100". If you want to dispense with the details, you should have chosen a realistic effective rate, not the top marginal rate.
On 2024-07-13 08:34:34 BurningMan said:
Perhaps we should start a pussy price index.
I am going to think of this every time I read about PPI in future!
On 2024-07-09 20:34:07 Armani ( Your Secret Lover ) @ said:
On 2024-07-09 18:27:16 slick70 said: But we all not Kenny Kenune. We are simple people.
And you can still eat sushi off a ladies tummy:)
Think I want to eat sushi off your tummy one day.
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