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Redundancy Lump Sum
G29
Posts: 1 Newbie
Is it better to put any redundancy payment above the tax free £30K into your pension fund to avoid possibly paying 40% tax you get 25% back as a tax free lump sum and it increases the monthly pension slightly?
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Comments
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What is your total income? If it's £150k either this tax year or any of the previous two tax years then "no".
Otherwise ..... it might be advantageous. But bear in mind that once it's in your pension plan, then you can not access the cash until retirement (minimum, age 55)Warning ..... I'm a peri-menopausal axe-wielding maniac
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