Should you top up your pension pre budget? :confused:

[Ken Figenus]

I hate the unknowns in life and being at the mercy of changing policies around big life decisions - and all made by people on gold plated, rock solid, final salary pensions. But that is what its like for the self employed, and much as I don't want to rush into stuffing £60k in my ssas pension to mitigate potentially less favourable private pension conditions post budget I think it might be prudent thing to do as my pot isn't that big.

Id get corp tax relief and get the current 25% tax free drawdown when crystalised which will mitigate any basic rate tax I would thus 'elect' to pay on this currently tax free money in future

What are peoples thoughts as I'd much rather keep this cash fluid and top pension up a by less next year and keep doing it more progressively.

[Mandat]

I don't know the answer but I'm interested in this as well.

[LeighW]

I have the spare funds in my business, so just yesterday paid in the whole amount that I was planning to pay in up to the end of the current tax year. Several of my clients have done the same.

[Truckosaurus]

I'd not make any serious financial moves based on social media rumours.

Especially around pensions when you are playing The Long Game over decades, so there will be loads of changes in the rules before (and after!) you pop your clogs.

Disclaimer: I am poor so should not be listened to.

[Mr Overheads]

Same here, been putting in contributions swifter than I would have otherwise done.

[Ken Figenus]

LeighW said:

I have the spare funds in my business, so just yesterday paid in the whole amount that I was planning to pay in up to the end of the current tax year. Several of my clients have done the same.

Was this driven by a fear of a new lower limit on the 25% tax free drawdown or something else?

Thx

[Pistom]

I was going to stick in a spare £3K but missed it this month but at that level I don't think it will make much difference.

[LeighW]

Ken Figenus said:

Was this driven by a fear of a new lower limit on the 25% tax free drawdown or something else?

Thx

Possible er's NI on contributions, possible reduction in annual contributions limit. I would have been paying this amount in anyway during this financial year, so very few possible negatives on paying in early for me (ignoring any possible changes in the pension performance of course!).

[Franco5]

In the run up to every budget I can remember the press scaremonger about cuts to pension tax relief then last year they increased the limit by 50%! I guess they need something to write about and most of their rubbish is some journalist’s speculation.

[oldaudi]

I’ve been adding to my sipp monthly as usual. The rumours regarding the tax relief appear to have vanished and it appears to be the 25% tax free withdrawal value that will be impacted.

I had no plans to take that anyway so I’m continuing my deposits, The only thing I’m not doing is actually investing at the moment. The cash will sit there and wait until after the budget.