20% tax payer - pension or S&S ISA?

[Phooey]

BAMoFo said:

Thanks for the input so far. I've thought about paying more into the missus' SIPP but don't think it matters much for us due to the way that I can throttle back her PAYE earnings from my Ltd. Company and also my own.

Are you contributing to SIPP via Ltd company contributions?

[NowWatchThisDrive]

plenty said:

Over 25 years assuming 5% growth per year, the difference between £50k invested in a pension, taxed at 20% upon withdrawal, versus £40k invested in an ISA, is £5,643.

How are you working that out?

[BAMoFo]

Phooey said:

Are you contributing to SIPP via Ltd company contributions?

Yes I make SIPP contributions from my Ltd company as well as from my part time PAYE salary. About £43k per year is from salary and I top up the other £17k from my Limited company to ensure that I fully use the allowance.

[plenty]

NowWatchThisDrive said:

plenty said:

Over 25 years assuming 5% growth per year, the difference between £50k invested in a pension, taxed at 20% upon withdrawal, versus £40k invested in an ISA, is £5,643.

How are you working that out?

Ignore me - I made an error in my workings. Apologies