The Mudcat Café TM
Thread #138823   Message #3182283
Posted By: Steve Shaw
06-Jul-11 - 05:38 AM
Thread Name: BS: Striking teachers should lose pay
Subject: RE: BS: Striking teachers should lose pay
If anyone is still deluded enough to think that we don't, by buying goods and services, all contribute to private sector pension pots, it's also worth remembering that contributions into pensions are exempt from tax. That means money that would otherwise have been taxed not being taxed (that's what "exempt" means). That's a hell of a good deal. If I invest in an ISA or some other "tax-free" savings scheme, the money I invest has been taxed before I invest it, unlike pensions contributions which are removed from consideration before tax is calculated on the residual income. That means that, if the government wants to maintain its income, it has to charge higher rates of tax on everyone to make up the shortfall. When it comes to paying for people's pensions, whatever sector they work in, we truly are all in it together. Incidentally, if anyone can provide an instance of a striking teacher being paid whilst on strike, please let's have it. Never in the history of mankind...