New Level New DEVIL

There seem to be two key income milestones that we seek to breakthrough in business: £50,000 and £100,000.

Both new levels bring new challenges in terms of unwanted tax consequences and new limiting beliefs that could sabotage your newfound success.

Are you subconsciously sabotaging your own success?

If you’re in a cycle of feeling stuck at a certain level of income then it is likely YOU need to get out of your own way. Whether you are employed and you can't quite get over that next pay hurdle or you cant ask for the fair price for your services in your own business, constantly discounting your work.

Even when you do stretch yourself out of your comfort zone to take yourself over that next hurdle have you found you then sabotage it somehow?

That’s because even at your new level of income there will be a new devil lurking under the surface. Your subconscious beliefs about your self-worth popping back without permission. How dare they!

I really resonate with this because this has happened to me twice in my career in finance. In 2013 I was promoted to Vice President and this meant that my income overnight jumped and leaped over the target I had been working on since I began my career almost a decade ago (yes it took me a while to reach my goal which is a story for another day). I had been successfully doing my role for few years, nothing fundamentally had changed in the expectations placed upon me. But I suddenly started to really doubt myself. I felt like an imposter, I didn’t deserve my seat on the trading floor. By 2014 I resigned from my job in pursuit of a new venture as a financial adviser where my pay fell to a far more comfortable level, 50% of what I was currently earning.

It only took me another couple of years to get back to what I was earning in 2014 because I deserved to be paid for skills and knowledge even in this new role. But when I had my baby Harry in 2016 all sorts of new beliefs came up, like 'I can’t be both a mummy and successful businesswoman'. I resigned from my job to take a one I felt would suit my new role of being a mummy, taking a small pay cut as a consequence yet again.

As a financial coach, I have explored this in my own mindset. I now work for myself and run my own business despite being a mummy to two babies under 3. Even working in finance I benefited from financial coaching. The two roles ‘coach vs adviser’ is very different. I would be far wealthier if I had worked on my mindset in 2014 before I quit my job, or even earlier! I would have known my worth and likely made far more informed decisions about how to move forward.

Breaking income barriers doesn’t just bring up new money blockers. It also brings up practical aspects that need to be addressed in terms of your financial planning if you are to optimize your new income and make the most of this newfound wealth.

Two key income levels that you need to take note of are £50,000 and £100,000.

Both are big milestones and both bring up new financial planning challenges.


  • You become a higher rate taxpayer. (well technically it is £50,070). This means that you start to pay tax at 40%, so you are giving away almost half of your new income to the taxman!

  • If your individual income is over £50,000 and so is your partner’s, then you may need to pay a child benefit tax charge if you are receiving child benefit.


  • For every £2 that your adjusted net income breaches £100,000, you start to lose your personal tax allowance by £1. This is an effective 60% tax charge. Your adjusted net income isn’t just your earnings, it is income from savings, investments, and rent, etc.

There are ways you can manage both of these jumps in income with the use of pension contributions. This is one way of planning how you can retain your wealth and manage the tax you pay over time.

A new level of income think new DEVIL. Whether that new level is the potential for you to sabotage your income with your subconscious beliefs or whether the taxman is!

Have you ever felt that you aren’t good enough to be paid your worth? That one day you would be found out? Are you at the levels of income I have discussed and don’t know if you can do anything about the higher levels of tax you are paying?

Get in touch. I a certified financial coach and a qualified Chartered Financial Planner.

I’ve already helped one client, who has a senior role in financial services when they had a pay rise. This is what they said after working with me We wish we had these discussions earlier in our lives. We learned a lot about our pensions, tax, and savings. I found learning about the tax aspects of my pension most useful and thought the cash-flow projects were very insightful. We now have clarity on our priorities and what to do next in our financial planning.”

Don't leave it too late to take action.

Email me at to explore whether you have any new devils you aren’t even aware of.

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It's time to focus on your finance and find your freedom.

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