What we charge?

[Graeme Harvey]

Wim wrote,
> I understand taxes are very high in NZ. What are you currently paying in
> taxes, including income tax, sales, etc?
>
> As far as how much you charge, that is up to you. Are you making a
> comfortable living? If so, then you're charging the right amount. If you
are
> always just a little behind on the bills, raise your rates. The question,
if
> you raise your rates, will you get enough customers to pay it?

Wim,
We have GST (Goods and Services Tax) which is 12.5% on top of everything
except financial transactions, banking services, house sales etc. The upside
of this is that we don't have any other sales tax or duties on anything
(that I know of anyway) and we have a reduction in personal income tax when
this was introduced in the mid 80's.
Otherwise we pay about 22% on the first $34000 and 34% on income between
$34000 and about $80000. I'm not sure what the current rate is over $80000
as we have recently had a change of government with the new lot eager to
review the rates upward.

To answer you second point, yes I am making a comfortable living, not quite
able to take round the world trips each year, but I can live with that.
With regard to rates charged, some one once told me that our rates should be
such that we get about 70% of the work we quote, ie if we get it all we are
possibly too cheap, and if we get very little then we're too expensive.
I rarely get people comment about my prices, either too high or too
reasonable.

Regards
Graeme Harvey
New Plymouth NZ