Redundancy payment

[BobSaunders]

Hi,

Under redundancy up to 30k is tax free, anything over is taxable.

Am i right in thinking that i can transfer anything over 30k into my pension tax free?

[TTmonkey]

Not sure but I did a self assessment today and it seemed to ask exactly this scenario question as if it’s going to attract taxation.

[BobSaunders]

Redundancy one time payment upto 30k is tax free, notice period in lieu is taxed, same with bonus, and any outstanding holiday.

Based on that, payment into pension could be the way forwards to avoid the additional taxes.

[anonymous-user]

Should work provided you keep below the annual salary/£40k threshold. I think. Eric the accountant will have the correct answer!