Are you a HENRY? If so, enjoy what you earn versus worrying about tax

And no not people actually called Henry!

HENRYs are ‘High Earners, Not Rich Yet’, a term used in personal finance to describe people earning over £100,000 who still feel financially squeezed. Around 10% of the UK population fall into this bracket.

The thing about HENRYs is that they pay more income tax, lose their personal allowance once they cross £100,000, and can’t access tax‑free childcare. Indeed, tax is a major issue for a lot of HENRYs. And for everyone earning less… well, sympathy is understandably limited.

But here’s the truth: neither you nor I can control tax rates.

So, what can you control?

• Budget intentionally — so you can actually enjoy the money you earn.
• Use your ISA allowances — tax‑free growth is powerful.
• Maximise pension allowances — especially if you’re near the £100,000 taper zone.
• Understand your lowest tax rate — basic‑rate CGT on most investments is 18%, which is lower than income tax (20%).

The point is simple: Spend more time building a suitable solution than getting bogged down in the problem.

Enjoy what you earn. Use the tools available. And don’t let tax anxiety steal the joy from your hard work.