A UK finance creator has revealed what he calls the five “worst salaries” to earn — highlighting how certain income levels can actually leave workers worse off due to tax rules and lost benefits.
Mat Gay, who shares money advice online as @thequidsquid, broke down the salary thresholds that can trigger financial disadvantages despite higher earnings.
£35,000
According to Mat, earning around £35,000 can be a tricky spot. At this level, many workers begin to lose access to support such as Universal Credit, council tax reductions, and cost-of-living assistance — despite still earning below the UK average salary of around £39,000.
£80,000
While £80,000 sounds like a dream salary, it can create issues for parents. At this level, individuals fall into the higher tax bracket and may lose entitlement to child benefit entirely.
Mat pointed out the imbalance: a household with two people earning £60,000 each could still receive full child benefit, while a single earner on £80,000 gets nothing.
£25,000
Lower salaries can also be problematic. Mat explained that earnings under £25,000 may indicate workers are being paid close to — or even below — the legal minimum wage.
With the UK National Living Wage sitting at £12.21 per hour (as of April 2025), a full-time worker should be earning roughly £23,800 annually before tax.
£100,000
Crossing into six figures can come with an unexpected tax sting. Once earnings exceed £100,000, the personal tax allowance begins to taper off.
This creates an effective tax rate of around 60% on income within that band — meaning a significant portion of additional earnings is lost to tax.
The ‘Worst’ Salary of All
However, Mat says the worst salary isn’t a specific number at all.
“The worst wage you can earn is less than you are now,” he explained.
Despite quirks in the tax system, he emphasised that earning more money will almost always leave you better off overall, since UK income tax is applied progressively — not as a flat rate.
The insights have sparked debate online, with many questioning whether the UK tax and benefits system fairly rewards those trying to increase their income.
