SIPP & Pension guidance - IM Private Clients

[Autolycus]

JulianPH said:

Have you also considered your annual interest allowance for the cash at bank (£1,000 a year for basic rate tax payers, £500 a year for higher rate)? This is in addition to your personal income tax allowance.

A pension contribution and this allowance should give you all the leeway you are looking for. A charitable donation would look after anything else.

Thank you, Nik and Julian, for the advice so far. The SIPP is on its way.

Could you expand, please, on the "charitable donation" remark? I can find plenty of references to higher rate tax payers being able to claim relief under Gift Aid, but nothing to help the deserving poor, like me. It's still touch and go, not helped by HMRC and my former employer's pension scheme offering a range of estimates for my 2023/2024 pension income.

[IJWS15]

Not sure if this has been answered, I know there are some restrictions on what I can contribute into a private pension if I start drawing down but are there any restrictions on employer contributions?

Edited by IJWS15 on Friday 22 March 09:49

[Intelligent Money]

IJWS15 said:

Not sure if this has been answered, I know there are some restrictions on what I can contribute into a private pension if I start drawing down but are there any restrictions on employer contributions?

Edited by IJWS15 on Friday 22 March 09:49

Hi IJWS15

If you have drawn income, i.e. a taxable payment, from a defined contribution pension then MPPA applies which limits contributions to £10k p.a. gross

Cheers

Nik