Pension contributions just before drawing down
Pension contributions just before drawing down
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worldwidewebs

Original Poster:

2,879 posts

274 months

Tuesday 18th February 2025
quotequote all
I stopped working at the end of November and will start to draw down my pension sometime later in the year. I have a 6 figure lump sum due to me at the end of March and am trying to work out whether I can put any of this into my pension at the start of the new tax year and before I start drawing down on it. I've used up my pension allowance for this and previous tax years.

I believe you can put £2,880 (net) into a pension if you're not earning but is there a way I can put more in? I'm working on the basis that I can't, but don't want to just assume!

greengreenwood7

958 posts

215 months

Tuesday 18th February 2025
quotequote all
are you meaning: adding monies to a sipp AND getting tax relief on the 'way in' ?

my understanding is that you can pay in the £2.8k and get relief on that, however, i did some digging and it seems ( i may be wrong ) that it's possible to pop a larger sum in without getting the tax relief on the way in.

Beyond that, no idea whether having stopped work you can still use the previous 'carry forward/back allowance.