• Dagnet@lemmy.world
      302·
      1 year ago

      ‘bad thing/good thing penguim’ strikes again. Annoys me people forget it’s supposed to be social situations

  • bstix@feddit.dkEnglish
    25·
    1 year ago

    Something funny I’ve seen is that in Norway it’s customary to distribute the income tax deduction over 11.5 months instead of 12, so that in November or December people only get deducted half the regular tax on their payslip. This is done to ensure that everyone has money for Christmas. It’s so dumb and beautiful that I can’t help but love the idea.

    • bardm@sh.itjust.works
      4·
      1 year ago

      It’s actually only 10.5 months. There is no tax on your June payslip, that’s when most people get their vacation pay.

      • bstix@feddit.dkEnglish
        4·
        1 year ago

        Yes that’s also very common, but that’s a little more complicated. It’s only an option for people who have had the same job for more than a year and for those who agree on settling the entire holiday pay in June even if they don’t actually go on holiday then. It varies how people do it.

        Unlike Norway, most EU countries tax the holiday on accrual so it’s always without a deduction when paid out regardless of when. Norway taxes it in the payment year though it is spread over the other months.

        There are pros and cons to both ways. Personally I think that EU has the better one, not because of the taxation but because it’s not necessary to accrue holiday in advance.

    • foggy@lemmy.world
      101·
      1 year ago

      Compounding interest is a hell of a drug.

      Saving anything is infinitely better than saving nothing.

      Retiring is possible for anyone with an education, but it is a sacrifice, and a gamble on not dying

      • bobs_monkey@lemm.ee
        54·
        1 year ago

        Anyone can save for retirement, even without a formal education. It just time and diligence to save, and then some reading to learn how to invest.

        • los_chillEnglish
          8·
          1 year ago

          All of that requires a livable wage first. How many times do people have to prove that no amount of “dilligence” will allow people to live, let alone save on minimum wage in most places?

        • grue@lemmy.worldEnglish
          13·
          1 year ago

          It just time and diligence to save

          It’s just having the self-control to live below your means.

    • gibmiser@lemmy.world
      5·
      1 year ago

      Try playing with this. Set the interest rate to 7%. Assume you will live to 75 (average us life expectancy) and retire at 65.

      Now change the monthly contribution amount to the most you can comfortably contribute right now if you opened an IRA IRA.

      This is your low estimate of your retirement savings. As you get older hopefully you earn more and can contribute more.

    • grue@lemmy.worldEnglish
      2·
      1 year ago

      No, a traditional IRA would be even better for that. With a Roth, you can withdraw the principal without penalty since it was after-tax to begin with; it’s only the gains that you get punished for taking out. In contrast, any amount of withdrawal from a traditional account incurs a penalty (with a few exceptions, such as using it to buy your first house or whatever).

    • Kimjongtooill@sh.itjust.works
      2·
      1 year ago

      Pretty sure you can pull contributions before 59 at anytime penalty free. Gains though and yeah you’ll pay penalties and taxes on.