Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

    • AlanLebadger
    • By AlanLebadger 15th Mar 17, 8:53 PM
    • 1Posts
    • 0Thanks
    What net payment do I need to make into SIPP
    • #1
    • 15th Mar 17, 8:53 PM
    What net payment do I need to make into SIPP 15th Mar 17 at 8:53 PM
    I have completely confused myself with this and just need to sense check what to do.

    My total pay for this tax year 16/17 will be £113,000.

    What is the cash payment I need to make into my SIPP to fully avoid losing my personal allowance?

    I think the gross contribution needs to be £13k (at least I hope that's right anyway...). Does that mean I need to make a net payment of £10,400 in total into my SIPP which will get grossed up by my SIPP provider claiming BR relief and count as a gross contribution of £13k on my tax return?

    Thanks in advance....
Page 1
    • Dazed and confused
    • By Dazed and confused 15th Mar 17, 9:28 PM
    • 2,192 Posts
    • 1,003 Thanks
    Dazed and confused
    • #2
    • 15th Mar 17, 9:28 PM
    • #2
    • 15th Mar 17, 9:28 PM
    A payment of £10400 (the net of basic rate tax relief amount) would be grossed up to £13000.

    What about other income though such as employer benefits and savings interest? You need to consider the whole picture not just "pay".
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

4,048Posts Today

9,705Users online

Martin's Twitter
  • RT @mmhpi: A huge thank you to everyone who has signed our #RecoverySpace campaign letter so far - we have reached over 1,000 names! If you?

  • RT @fikee: Told a ridiculously cool young lad behind me in the supermarket that I loved his boots. He looked at me and in that split secon?

  • Happy Birthday Jordon. 21 today. Wish you as good a day as you can, and hope you are out of hospital and on the m?

  • Follow Martin