Ndubuisi 'Andy' EgwimMoney Coach for Medics|Ex-NHS GP|21+ Yrs Investor| Founder, MoneyWiseDoctor.com|Helping Medics Avoid Big Money Mistakes

Unknowingly paying thousands of pounds more

30 Jul 2026 · 1 min

Watch on YouTube

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In this short YouTube talk, Dr. Ndubuisi 'Andy' Egwim, author of The Modern Wise Doctor and a 21‑year veteran investor, explains why many high‑earning NHS consultants feel penalised for taking extra shifts. He describes the UK “60% tax trap”: once a doctor’s adjusted net income exceeds £100,000, the personal tax‑free allowance is withdrawn at a rate of £1 for every £2 earned over the threshold, eroding the allowance completely by about £125,000 and resulting in an effective marginal tax rate of roughly 60%. Egwim illustrates how this hidden tax cliff can make additional work feel unrewarding and shares his recommended mitigation strategy—using pension contributions and other tax‑efficient investing techniques. He also notes his experience teaching tax‑efficient investing to around 4,000 doctors.

Chapters

A consultant told me recently that she stopped taking any extra work from the NHS, not because she was tired, but because every extra shift felt like she was working harder and harder for very little money and being punished with more and more taxes. So she had just read my book and realized why, and I'll tell you exactly why she had fallen into the 60% tax trap. I'm Dr. Andy Egwim, I'm the author of The Modern Wise Doctor, and over the last couple of years I've taught about 4,000 doctors tax-efficient investing. I've been an investor myself for more than 21 years. So what's the 60% tax trap? Basically, if your income, your adjusted net income, goes above £100K, for every £2 above that £100K, you lose £1 from your tax-free allowance. And then your effective tax rate between £100K and by the time it gets to £125K, you've lost your whole tax-free allowance, and then your effective tax rate is 60%. So this, how to avoid this one of it, is actually utilizing your pensions in a very careful way to invest.