| Swansea City Agree Wage Deferrals on 13:11 - Apr 26 with 1408 views | Phil_S |
How can any wage cut end up in an owners pocket? Surely it would just go to cover the cost of essential bills that cannot be paid due to the complete loss of revenue at the moment.
In the same way as the large percentage of the population are having to take pay cuts at the moment for the very same reason. Or is my boss getting super rich off the back of all the ones our company has done? |  | |  |
| Swansea City Agree Wage Deferrals on 13:24 - Apr 26 with 1392 views | NotLoyal |
| Swansea City Agree Wage Deferrals on 13:11 - Apr 26 by Phil_S |
How can any wage cut end up in an owners pocket? Surely it would just go to cover the cost of essential bills that cannot be paid due to the complete loss of revenue at the moment.
In the same way as the large percentage of the population are having to take pay cuts at the moment for the very same reason. Or is my boss getting super rich off the back of all the ones our company has done? |
If the money exists without match day revenue etc ... the only profit I could see would be interest, however I’m sure there are other more non obvious examples. In short, they are going to have to pay at some point. |  |
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| Swansea City Agree Wage Deferrals on 16:27 - Apr 26 with 1329 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 13:11 - Apr 26 by Phil_S |
How can any wage cut end up in an owners pocket? Surely it would just go to cover the cost of essential bills that cannot be paid due to the complete loss of revenue at the moment.
In the same way as the large percentage of the population are having to take pay cuts at the moment for the very same reason. Or is my boss getting super rich off the back of all the ones our company has done? |
It doesn’t.
As expected, certain posters will muddy the waters with their nonsense. |  | | |
| Swansea City Agree Wage Deferrals on 16:37 - Apr 26 with 1324 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 23:17 - Apr 24 by jasper_T |
How does letting the club keep 40% of the normal wage bill help people?
The club needed to defer wages due to the cashflow issues (new and old) but the idea wages should be slashed for owners benefit is just bitter people wanting to punish footballers for being wealthy.
Until Sky and BT lose subscribers (those who say they don't want or need football any more) there will be loads of money flowing into football and the players themselves should be taking home the bulk of it. Competition among clubs for the best players drives up wages, not player greed (in most cases). |
Simplistically there is a pot of money available. That pot isn’t big enough to cover expenditure at a time where there is no, or very little, revenue.
Because that pot isn’t big enough, the club are taking public money (that’s money from the tax payer) to pay some members of staff’s salaries.
On the other hand, the players get paid their full amounts.
If players take less, there is more to go round, and amounts taken from the tax payer can reduce.
It doesn’t benefit the owners, as no one is making a profit, it does benefit the tax payer. The ones you describe as ‘bitter’.
The same situation is replicated up and down the country, where companies that have furloughed staff, taking tax payers money to do so, are, without exception (in the case of publicly owned companies where info is available) seeing that accompanied by reductions (not deferrals, reductions) to the salaries of higher paid executives. It’s what called morally correct. Sharing the load, all being in it together.
You’ve said before you know nothing about finance. You don’t need to continually prove it.
Good luck to the players getting most of the revenue in the future - there’ll be none left | | | |
| Swansea City Agree Wage Deferrals on 16:46 - Apr 26 with 1312 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 13:02 - Apr 26 by Kilkennyjack |
We need to very careful with who is setting the agenda on this one.
Footballers on big wages already pay big taxes which greatly helps our public service provision like schools, pensions, social care and NHS.
Rees-Mogg on the other hand has a company called Somerset Capital Mgt that has made £105 m profit over the last 5 years and has paid zero corporation tax. Why ? Because he has based his business in the Cayman Islands.
He did however get a govt grant for £6.7m to refurb his 300 bed ancestral home.
Dont be fooled by the big money men. This is another dead cat. |
If a player gives up £10k a week, that can result in a reduction of £10k per week in tax payer bail outs.
If they keep it and pay tax, that results in £5k extra tax. So it’s a net public benefit of £5k (tax lost compared to bailouts saved).
Until such time as every single penny of tax payer money is not needed at clubs, through furlough, business rates relief, publicly backed loans, VAT deferrals, tax deferrals et al, it’s better for money to be taken from players. Many players also take advantage of the type of tax avoidance schemes that you mention which skews it even more. | | | |
| Swansea City Agree Wage Deferrals on 18:07 - Apr 26 with 1267 views | BobbyBacala |
| Swansea City Agree Wage Deferrals on 16:27 - Apr 26 by londonlisa2001 |
It doesn’t.
As expected, certain posters will muddy the waters with their nonsense. |
For Premier League clubs whose main income sources are merchandise and sponsors rather than tickets, assuming they can cover their running costs and players took a voluntary paycut, could the owners then take that out as a dividend at the end of the year? I appreciate this probably applies to Man Utd, Liverpool and a few others only. | | | |
| Swansea City Agree Wage Deferrals on 18:16 - Apr 26 with 1259 views | Kilkennyjack |
| Swansea City Agree Wage Deferrals on 16:46 - Apr 26 by londonlisa2001 |
If a player gives up £10k a week, that can result in a reduction of £10k per week in tax payer bail outs.
If they keep it and pay tax, that results in £5k extra tax. So it’s a net public benefit of £5k (tax lost compared to bailouts saved).
Until such time as every single penny of tax payer money is not needed at clubs, through furlough, business rates relief, publicly backed loans, VAT deferrals, tax deferrals et al, it’s better for money to be taken from players. Many players also take advantage of the type of tax avoidance schemes that you mention which skews it even more. |
Thanks, my substantive point was really quite simple.
Why is Matt Hancock going after footballers who do pay tax, when the likes of Rees-Mogg make fortunes in doing business within the uk without paying a penny in tax on profits over £120m over 5 years.
Is it another dead cat to distract people....?
As we all know, Bale has recently donated £500,000. |  |
| Beware of the Risen People
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| Swansea City Agree Wage Deferrals on 18:42 - Apr 26 with 1243 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 18:07 - Apr 26 by BobbyBacala |
For Premier League clubs whose main income sources are merchandise and sponsors rather than tickets, assuming they can cover their running costs and players took a voluntary paycut, could the owners then take that out as a dividend at the end of the year? I appreciate this probably applies to Man Utd, Liverpool and a few others only. |
A dividend can theoretically be taken from retained profits, so this season in itself doesn’t mean that dividends can’t be taken if the club has huge reserves.
But the owners of clubs find the values of the clubs they own severely damaged from what they were a few weeks ago, so they are taking a hit as well (the values of football will be down for the foreseeable future - Sky etc are taking a hammering and a day of reckoning will come even at the top level).
The fans are taking a hit, owners taking a hit, staff taking a hit, government taking a hit, the only ones that aren’t prepared to muck in appear to be the players. They’d better hope they’re good enough to play for the only clubs that will be left at the end of this... | | | |
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| Swansea City Agree Wage Deferrals on 18:48 - Apr 26 with 1235 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 18:16 - Apr 26 by Kilkennyjack |
Thanks, my substantive point was really quite simple.
Why is Matt Hancock going after footballers who do pay tax, when the likes of Rees-Mogg make fortunes in doing business within the uk without paying a penny in tax on profits over £120m over 5 years.
Is it another dead cat to distract people....?
As we all know, Bale has recently donated £500,000. |
There are many corporations who are based in tax havens - it’s wrong and should be dealt with. But we are talking about a football club, so it’s irrelevant for those purposes. Somerset Capital aren’t furloughing staff nor do they have a customer base who have been put on their arse end by these events.
If football clubs weren’t taking public money it wouldn’t be an issue. Hancock only mentioned it as it came up in a question because Liverpool had furloughed staff (subsequently reversed due to public pressure, albeit they may well be taking other public monies). | | | |
| Swansea City Agree Wage Deferrals on 18:59 - Apr 26 with 1218 views | monmouth |
| Swansea City Agree Wage Deferrals on 18:48 - Apr 26 by londonlisa2001 |
There are many corporations who are based in tax havens - it’s wrong and should be dealt with. But we are talking about a football club, so it’s irrelevant for those purposes. Somerset Capital aren’t furloughing staff nor do they have a customer base who have been put on their arse end by these events.
If football clubs weren’t taking public money it wouldn’t be an issue. Hancock only mentioned it as it came up in a question because Liverpool had furloughed staff (subsequently reversed due to public pressure, albeit they may well be taking other public monies). |
Yes this is the issue to me. If the taxpayer puts money in to any enterprise,the taxpayer should get something back, however that is structured. Quid pro quo. |  |
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| Swansea City Agree Wage Deferrals on 21:42 - Apr 26 with 1162 views | BobbyBacala |
| Swansea City Agree Wage Deferrals on 18:42 - Apr 26 by londonlisa2001 |
A dividend can theoretically be taken from retained profits, so this season in itself doesn’t mean that dividends can’t be taken if the club has huge reserves.
But the owners of clubs find the values of the clubs they own severely damaged from what they were a few weeks ago, so they are taking a hit as well (the values of football will be down for the foreseeable future - Sky etc are taking a hammering and a day of reckoning will come even at the top level).
The fans are taking a hit, owners taking a hit, staff taking a hit, government taking a hit, the only ones that aren’t prepared to muck in appear to be the players. They’d better hope they’re good enough to play for the only clubs that will be left at the end of this... |
Thanks for the answer. | | | |
| Swansea City Agree Wage Deferrals on 22:18 - Apr 26 with 1139 views | jack_lord |
| Swansea City Agree Wage Deferrals on 16:46 - Apr 26 by londonlisa2001 |
If a player gives up £10k a week, that can result in a reduction of £10k per week in tax payer bail outs.
If they keep it and pay tax, that results in £5k extra tax. So it’s a net public benefit of £5k (tax lost compared to bailouts saved).
Until such time as every single penny of tax payer money is not needed at clubs, through furlough, business rates relief, publicly backed loans, VAT deferrals, tax deferrals et al, it’s better for money to be taken from players. Many players also take advantage of the type of tax avoidance schemes that you mention which skews it even more. |
I was considering the reduction in tax revenue from any player wage cut and wondered about the true net cost. Do high earning footballers employ accountants/financial gurus to minimise the tax they pay out? |  |
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| Swansea City Agree Wage Deferrals on 00:01 - Apr 27 with 1113 views | londonlisa2001 |
| Swansea City Agree Wage Deferrals on 22:18 - Apr 26 by jack_lord |
I was considering the reduction in tax revenue from any player wage cut and wondered about the true net cost. Do high earning footballers employ accountants/financial gurus to minimise the tax they pay out? |
God yes.
There are all sorts of weird and wonderful arrangements with image rights, merchandising, sponsorships etc. The budget a couple of years ago tried to clamp down on it (players used to have limited companies that owned their image rights which were paid by their club) but at one point last year HMRC were said to be investigating almost 200 players over their tax affairs.
Of course, there have been hugely high profile cases in Spain. | | | |
| Swansea City Agree Wage Deferrals on 18:53 - Apr 27 with 994 views | jack_lord |
| Swansea City Agree Wage Deferrals on 00:01 - Apr 27 by londonlisa2001 |
God yes.
There are all sorts of weird and wonderful arrangements with image rights, merchandising, sponsorships etc. The budget a couple of years ago tried to clamp down on it (players used to have limited companies that owned their image rights which were paid by their club) but at one point last year HMRC were said to be investigating almost 200 players over their tax affairs.
Of course, there have been hugely high profile cases in Spain. |
This is linked to my comment about high earning footballers taking a hefty wage cut on the premise that they are avoiding the tax anyway so there wouldn't be a loss of tax revenue to pay the furloughed staff. | |
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