Matt are you saying you dont think 20k is a good wage?
20K is reasonable but thats all it is. Its far below average wage.
Im obviously not the only one who appears to doubt the figures quoted.
Like I said Lee if you're giving your guys 25% of their turnover that means you have 75% of turnover, obviously costs etc come out of that, but employing someone isnt THAT! expensive (P/L insurance, employers insurance, N.I., vehicle outlay, vehicle running costs, office space, holidays, sick (okay not sick if you can help it), uniform, filters, resin); what shall we say £60 a day off the top of our heads per individual?
Okay lets go to £85.00 just so we are sure we cover everything. Now these costs are spread over a year so we can call that 250 working days.
£250 x £85.00 comes out near as damn it at £20,000 and we all know thats highly conservative. Youve paid your bloke 20K it costs 20k to maintain him and as he gets paid 25% that means there is £40,000 PER EMPLOYEE! for you AFTER EVERYTHING!!
Even when theyre ill, on holiday or if its raining.
How many do you employee Lee?
This will put you in the 40% tax bracket with just one bloke working for you. Employ 4 Lee and you could be paying 50% tax.
Lee are you in the 50% tax bracket?
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Lets look at it from another angle shall we?
These guys get £20,000 a year apparently. Now that works out at £380 a week. Lets say they do 40 hours. Thats near as damn it £10 an hour you are paying them. But, that is only 25% of what they turn over. That means they turnover £40 an hour EVERY hour, EVERY day, EVERY week, Every month, EVERY year.
Impressive
