New PC charge now up to 60% from 18 July 2011
Nor do they have to risk their own money, and effectively work as an uncontracted, unsalaried employee...
Jeff
Jeff
Euler wrote:Never understood why a succesfull Betfair trader would go to the city? I'd change my mind now as even prop traders don't have to pay 60% of their profits.
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superfrank
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Bonuses?!!Euler wrote:Never understood why a succesfull Betfair trader would go to the city? I'd change my mind now as even prop traders don't have to pay 60% of their profits.
I guess Betfair's thinking is that they don't want to discourage the majority of traders (who won't be affected by this), or aspiring traders, so they are hitting the big players.
Last edited by superfrank on Tue Jun 28, 2011 8:45 pm, edited 1 time in total.
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superfrank
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Well it is if they are gonna be losing a big chunk of their income...jimrobo wrote:This is not going to hit big hitters
To me it strikes me as a move to actually get rid of traders as apposed to just tax them, surely they dont expect people to actually pay 60%, or if your not yet at that level to go through the effort required to be get there when there is now a clear ceiling in place.
I just cant see the logic in this action however, I mean surely the added liquidity traders bring is worth keeping them for, I'm truley bemused.
I just cant see the logic in this action however, I mean surely the added liquidity traders bring is worth keeping them for, I'm truley bemused.
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andyfuller
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Jimrobo meant it will not only affect big hitters I believe.
Which is true, you don't have to be making a fortune to be caught by this charge, say you have made £100,000 so far and make £50,000 a year net, you have 3 years left then you best find something else to do.
So if you make £50,000 which is decent money but far from being a big hitter and not exactly crazy money in the grand scheme of things you would have to think. Do I carry this on for 3 more years and then stop or do I go and get a job now that pays say £30,000.
The job has no risk to your own money, social benefits, regular income etc and a future.
Or do you carry on making your £50,000 and be yet more unemployable in three years.
Or what about the guy starting out who wanted to trade for a living, £250,000 is hardly a lifetimes income so why even bother starting unless you want to do it as a hobby or as a supplement to your regular income.
Giving £100,000 a year would have been acceptable, but not £250,000 a lifetime, that is only £25,000 a year for how long Betfair have been around which is very little given the risks people have taken.
Take a big hitter who can make £1,000,000 a year on Betfair, they now get to keep £400,000 which is very nice still but is it worth their efforts like Peter says, he can make that equivalent elsewhere with less effort one would assume (not saying those figures are representative of what Peter makes either better or worse).
Now take the more realistic/achievable guy who make £100,000 a year, they now get to keep £40,000. Is that worth it, no not at all, there are much easier ways of making £40,000 a year.
So how many people do we have on here who was up until today looking to make trading their future who now thinks the charge doesn't affect them.
I know I wouldn't have put in all the effort I have with a carrot of £250,000 and then 40% of what I make each year there after dangling in front of me.
Unless I figure something out it is pastures new for me as I am nearer the £100,000 guy than the £1,000,000 guy - perhaps it will turn out great and I will be thanking Betfair
Which is true, you don't have to be making a fortune to be caught by this charge, say you have made £100,000 so far and make £50,000 a year net, you have 3 years left then you best find something else to do.
So if you make £50,000 which is decent money but far from being a big hitter and not exactly crazy money in the grand scheme of things you would have to think. Do I carry this on for 3 more years and then stop or do I go and get a job now that pays say £30,000.
The job has no risk to your own money, social benefits, regular income etc and a future.
Or do you carry on making your £50,000 and be yet more unemployable in three years.
Or what about the guy starting out who wanted to trade for a living, £250,000 is hardly a lifetimes income so why even bother starting unless you want to do it as a hobby or as a supplement to your regular income.
Giving £100,000 a year would have been acceptable, but not £250,000 a lifetime, that is only £25,000 a year for how long Betfair have been around which is very little given the risks people have taken.
Take a big hitter who can make £1,000,000 a year on Betfair, they now get to keep £400,000 which is very nice still but is it worth their efforts like Peter says, he can make that equivalent elsewhere with less effort one would assume (not saying those figures are representative of what Peter makes either better or worse).
Now take the more realistic/achievable guy who make £100,000 a year, they now get to keep £40,000. Is that worth it, no not at all, there are much easier ways of making £40,000 a year.
So how many people do we have on here who was up until today looking to make trading their future who now thinks the charge doesn't affect them.
I know I wouldn't have put in all the effort I have with a carrot of £250,000 and then 40% of what I make each year there after dangling in front of me.
Unless I figure something out it is pastures new for me as I am nearer the £100,000 guy than the £1,000,000 guy - perhaps it will turn out great and I will be thanking Betfair
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andyfuller
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I can't divide by 11Euler wrote:Betfair have been going for 11 years, so it's not even £25k a year.
and the calculator is broken 
Andy is spot on, it kills the motive for getting started and trying. Why pay 60% tax when you can get a job which pays less and involves less risk. Can't work out what Betfair are doing. Have they lost their marbles?andyfuller wrote:Jimrobo meant it will not only affect big hitters I believe.
Do you think this move will help betdaq or hinder them?
Iver been trading to smaller stakes over there and found it ok. Id like to move more money there and start to trade bigger.
My main concern though is that they do seem to be seeding their markets. I have no idea if they do or not, it just looks that way.
If they are, and then they get an arrival of new winning punters, will they not end up in trouble like sporting options?
Iver been trading to smaller stakes over there and found it ok. Id like to move more money there and start to trade bigger.
My main concern though is that they do seem to be seeding their markets. I have no idea if they do or not, it just looks that way.
If they are, and then they get an arrival of new winning punters, will they not end up in trouble like sporting options?