Pay day in June will be the happiest pay day of the year for British workers, according to Alliance & Leicester’s new pay day survey.

The new report, which looks at how our happiness levels change on pay day, reveals that nearly two thirds of us will feel happier come June’s first pay day, knowing that tax freedom day which occurred on 2nd June this year, represents the average point in the year when all our hard-earned cash will be ours and not going to the taxman.

Over the course of a year we individually pay tax in many forms such as tax on our earnings, tax on our savings and VAT on goods and services we buy. If we had to pay all our tax in one lump sum instead it would take us until 2nd June – Tax Freedom Day - to pay the taxman. The date changes slightly every year with varying tax levels and currently is slowly moving later in the year.

The pay day survey, conducted for Alliance & Leicester by independent research agency BMRB, shows that over half of the working population admit to feeling sad knowing a lot of their salary goes to the taxman. However, come tax freedom day happiness levels are set to soar by 62% compared to a normal pay day.

Two thirds of tax payers were shocked to learn that as much as six months of their salaries goes into the taxman’s pockets with a staggering 71% of the nation believing it would take less time.

Simon Ripton, Manager of Current Accounts at Alliance & Leicester commented:

“Over half of us admit to feeling sad at seeing so much of our hard earned cash being swallowed up by the taxman each month before it enters our bank accounts. But as our research shows, June is set to see a surge in happiness and in turn the amount of money we spend from our current accounts.”

“Knowing that the taxman will not be able to touch their hard earned cash causes happiness levels to soar, and June pay day will be a time to celebrate for many working Brits.”

In addition, the survey reveals that with 43% of workers celebrating every pay day by spending more money on feel good items such as a night out, a meal or clothes, June is set to see an additional surge in spending.

Simon Ripton continued: “At Alliance & Leicester we believe that people’s salaries should work harder for them. The current account market has never been so competitive and it is time that more people woke up to the fact that sticking with uncompetitive accounts is costing them dear.”

“Switching to a better current account would give every British worker something extra to celebrate come pay day.”