Pension Contributions

There is no financial limit on the amount that may be contributed to a registered pension scheme.

Registered Pensions2019/202018/19
Lifetime allowance£1,055,000£1,030,000
Money purchase annual allowance£4,000£4,000
Annual allowance*£40,000 £40,000
Annual allowance charge on excessApplicable tax rate on earningsApplicable tax rate on earnings
Lifetime allowance charge if excess drawnas cash 55%as income 25%
Max. pension commencement lump sum25% of pension benefit value
* Reduced by £1 for every £2 of adjusted income over £150,000 to a minimum of £10,000, subject to threshold income being over £110,000.

State Pensions2017/18 WeeklyAnnual2016/17 WeeklyAnnual
Single tier*£159,55£8,296.60£155.65£8,093.80
Basic - single person**£122,30£6,359.60£119.30£6,203.60
Basic - spouse/civil partners**£73.30£3,811.60£71.50£3,718.00
* State pension age reached after 5/04/16.

** State pension age reached before 6/04/16.

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