Budget will I be better or worse off

[boxingbig]

I am a married pensioner with total income about �18000 ,income tax dropping by 2p but first �10000 at 10% dropped where do I stand ? sorry to be selfish but I am sure someone out there is sharp with numbers.
many thanks

[kags]

Assuming that you are aged between 65 and 74, and that all the income is yours (ie not taking your wife's allowances and rate bands into account), the you will pay just about the same amount of tax with the changes to the rate bands. Had there not been the changes however, your personal allowance would have gone up in April anyway, and you would have been just over a pound a week better off.

[boxingbig]

thanks kags, think I understand but that is the total income for the wife and me,we are just coming up to pension age
me 64 lovely lady 59 but my wife has not paid any stamp since late 60s been at home looking after the children and me.so I dont think my wife will get any pension or allowances.
thanks again

[kags]

well the figures above will not be accurate if you are curently under 65 - in the tax year in which you become 65 your tax allowances will increase anyway, and also your state pension is taxable so your tax bill will change. In the absence of these changes, your tax bill would rise only very slightly due to today's rate band changes.

[kags]

ps don't forget the rate band changes don't come in to effect until April 2008.

[kags]

for the benefit of anybody else reading this thread - �18000 is just about the point (for a person with a normal tax code) at which the change in rate bands will be neutral. Income levels below this will be worse off, and above this better off. However, there will be rises in allowances for older people to reduce the impact.

[boxingbig]

kags,thank you very much for your time and effort