Thursday 10 December 2009

Pre Budget Report - Pension contributions for high earners

My understanding of the latest change is that if you earn/ have income of £150k + the tax relief on contributions will be restricted if contributions exceed £20k or in certain circumstances £30k per annum. Employer pension contribution were not included in the calculation of earnings/ income.

The amendment in the PBR states that for those earning £130k + employer pension contributions will be included in calculating the £150k level.

Simple.

No comments:

Post a Comment