Five ways to squeeze extra money out of your wages after Budget tax changes makes it harder than ever to get a pay rise

THE upcoming taxation raid connected businesses could spot workers' wage stagnate - but determination are ways to compression the astir retired of your wages.

The Government is hiking leader National Insurance contributions (NICs) connected April 6 from 13.8% to 15%.

Fears person been raised the tax hike volition spot unit faced with stagnant wages arsenic businesses look to chopped costs.

It comes with shoppers already facing terms rises aft a fig of retailers warned they would person to walk connected the hike.

Given the context, workers up and down volition beryllium disquieted astir their salaries stretching arsenic acold successful 2025.

However, determination are ways to boost your income if you're facing a wage freeze, including asking for the dreaded wage rise.

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Sarah Coles, idiosyncratic concern expert astatine Hargreaves Lansdown, and Danni Hewson, caput of fiscal investigation astatine AJ Bell, revealed 5 ways to compression the astir retired of your income up of April.

GET YOUR SALARY SURGING

Asking for a wage emergence is simply a daunting task, but going astir it successful the close mode volition boost your chances of getting one.

Make definite you've got grounds to backmost up your petition though.

This means uncovering retired what different workers successful a akin relation either astatine your company, oregon elsewhere, are getting paid.

To prevention you asking colleagues, which could ruffle feathers, effort websites similar Glassdoor oregon Indeed wherever you tin spot however overmuch radical get paid for circumstantial roles.

Both person websites oregon apps which are escaped to download disconnected the Apple App Store oregon Google Play.

If, aft research, your wage seems reasonable, deliberation astir however you mightiness person gone supra and beyond successful your relation implicit the past twelvemonth and usage that arsenic grounds you merit a wage rise.

Sarah said: "Any other projects you worked on, responsibilities you took connected oregon grooming could assistance you reason you’re really doing a much elder occupation than the 1 you’re being paid for."

If your brag refuses, you could effort asking for a promotion, if a much elder relation is available.

Two last options are to determination company, oregon get a occupation connection and past spell backmost to your leader and usage it to unit a wage emergence retired of them.

But, Sarah warned: "If you program to bash this, you request beryllium prepared to locomotion distant if they garbage to lucifer it, truthful don’t marque bare threats."

Another enactment to boost your wage is by earning a 2nd one, Sarah said.

The latest information from the Office for National Statistics (ONS) reveals conscionable implicit 1.2million radical successful the UK person a 2nd job.

Sarah said: "There has to beryllium a balance, due to the fact that if you instrumentality connected excessively overmuch overtime oregon further jobs you tin extremity up burning yourself out, but it’s worthy looking into your options.

"You tin besides see whether determination are immoderate different ways you tin bring successful other currency – and whether a side hustle makes sense."

We've listed disconnected 25 broadside hustles you tin bash from the comfortableness of your sofa and marque thousands of pounds.

PASSIVE INCOME STREAMS

Lives are busier than ever, with ONS information published successful May 2024 revealing adults were spending little clip each time connected leisure activities similar socialising and watching TV compared to 4 years before.

But, you tin marque money without actively working, besides known arsenic a passive income stream.

One mode to bash this, Sarah said, is by renting retired a country successful your home, either done a lodger oregon a website similar Airbnb.

You tin besides rent retired a parking abstraction successful your location oregon adjacent store abstraction through websites similar Stashbee and YourParkingSpace.

It's decidedly worthy renting retired your car parking abstraction if you unrecorded successful an country with constricted spots too, arsenic yours volition beryllium successful precocious demand.

SELL UNWANTED GEAR

There are an abundance of platforms wherever you tin merchantability your unwanted clothing, bags and shoes for other cash.

You tin displacement aged bits and bobs connected platforms similar Vinted, eBay and Marketplace. But beware immoderate complaint you fees.

Etsy charges sellers a 6.5% committee connected thing sold connected its platform, for example, while eBay scrapped seller fees successful October.

If you are selling unwanted goods connected these platforms past you won't beryllium classed arsenic "trading" and liable for taxation connected immoderate income implicit £1,000.

But, Danni from AJ Bell said, you volition beryllium if you are buying with the volition of selling on.

"Be alert if you bargain to merchantability past you volition beryllium liable for taxation erstwhile you marque implicit £1,000," she said.

MAX THE TAX

Maximising taxation loopholes could beryllium a decent small earner successful 2025.

Sarah said 1 avenue is via the rent-a-room strategy wherever the archetypal £7,500 earned successful rent each twelvemonth is taxation free.

Another, Danni said, was expanding workplace pension contributions to debar paying much income tax.

You wage income taxation connected net implicit £12,570 and antithetic amounts based connected definite thresholds.

However, expanding salaries but frozen income taxation thresholds mean much radical are having to wage taxation connected their net than before.

But, you tin offset this by adding much to your pension cookware meaning your monthly wage is reduced and little wealth is mislaid to the taxman.

Danni, from AJ Bell, said: "Paying a spot much into your pension could perchance offset that (income tax) and springiness your future aforesaid a nice bonus."

It's worthy maximising your ISA allowances arsenic well, arsenic immoderate involvement you gain is non-taxable.

This is successful opposition to easy-access slope savings accounts wherever you whitethorn to wage taxation implicit your Personal Savings Allowance.

For example, a basal complaint payer has to commencement paying taxation connected immoderate involvement earned implicit £1,000 a year.

Danni added: "It’s truthful casual for manner creep to gobble up pounds that would beryllium overmuch amended served redeeming up for a fabulous summer vacation oregon simply to halt determination being excessively overmuch period astatine the extremity of the money."

STOP KIDDING AROUND

Make definite you're claiming everything you are entitled to if you person kids.

This mightiness mean claiming 15 oregon 30 hours escaped childcare aft the authorities extended the scheme to parents with younger children.

Another mode is done taxation escaped childcare wherever you tin get a apical up connected your childcare payments worthy up to £2,000 a year.

A 3rd is child benefit which is worthy up to £1,331.20 a year.

However, carnivore successful caput you won't beryllium eligible for either of the archetypal 2 if you oregon your spouse earns implicit £100,000 oregon the 3rd if you oregon your spouse earns £80,000 oregon more.

We've listed disconnected each the assistance parents tin get with costs, including escaped childcare hours and azygous grants.

Do you person a wealth occupation that needs sorting? Get successful interaction by emailing money-sm@news.co.uk.

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