United Kingdom or
United Arab Emirates: how much of your year is truly yours?
In the United Kingdom you work on € 100,000 gross the equivalent of almost four months per year for the tax authority, before a single euro is truly yours. In the United Arab Emirates: zero income tax.
Why in months and not in an amount? A euro amount assumes you take your salary to the new country, and almost nobody manages that. The share that goes to the tax authority, your average effective rate, you do take everywhere. That is why we calculate in months.
The calculation, on € 100,000 gross employment income: in the United Kingdom you keep € 69,990 net (effective 30%), meaning the equivalent of almost four months per year goes to the tax authority. In the United Arab Emirates you keep € 100,000 (effective 0%), zero income tax. The difference: € 30,010 per year.
Important: the more you earn, the larger that share, because the system is progressive. The figures here apply at € 100,000 gross; at your income it will differ. Calculate your own amount at libaros.com.
The United Kingdom now taxes so heavily that raising rates further barely increases revenue. That is not an opinion but the Laffer curve.
Figures: average effective rate on employment income (income tax plus employee contributions), single person, current tax year. Indicative, not tax advice. Calculated with the Libaros calculation engine.