Pensions are Changing Again – Do You Need to Take any action before 5 April 2016?

4th February 2016

Annual Allowance 

The amount you can pay into a pension scheme each year has been reducing and the limit is currently at £40,000. However from this April those with income over £150,000 per year will have this limit cut and once income is above £210,000 the annual limit is only £10,000. 

If you want to maximise your pensions savings, you may need to act before 5 April 2016. 

Lifetime Allowance  

The lifetime allowance for pension funds is also reducing from £1.25 million to £1 million from 6 April 2016. There will be transitional protection for pension funds already over £1million at this date. If your pension fund is at or around £1million you may wish to seek advice from a pensions advisor before 5 April 2016.

Karen Oliver | Brighton Accountant

For more information on this issue, please contact Karen Oliver on 01273 701200 or email kareno@plusaccounting.co.uk

Author: Karen Oliver, Tax Manager @ Plus Accounting

Any views or opinions represented in this blog are personal, belong solely to the blog owner and do not represent those of Plus Accounting. All content provided on this blog is for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. 

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