Self-employed Pension help please

becominganobsessivesaver

Not sure if anyone can help. OH is self-employed (not through a ltd co) and will make a taxable profit of just over £10k for 2011-12. We're fortunate that we have about £8k of this profit in the bank, so are looking at a tax efficient way of investing it in a pension. If possible we would like to make pension contributions up to a value where he doesn't pay any tax for the year (ie profit less £7500) - is this possible and if so how do we go about it please?

dunstonh

Being self employed, it also means he gets a lower state pension in retirement. So, doing his own provision is extra important.

If possible we would like to make pension contributions up to a value where he doesn't pay any tax for the year (ie profit less £7500) - is this possible

yes

how do we go about it please?

find a pension provider that offers a pension and investments that suits your needs and objectives. Or if you dont want to DIY then use a local IFA.

middlepuss

This is fairly easy to understand info on SIPPs http://www.hl.co.uk/pensions/sipp.

When you've worked out what you want to invest in, come back on here to ask advice on which provider would be best for you. Hargreaves Lansdown are good but will not necessarily be the best for your particular situation.

I'm sure you know you need to get the pension contributions made by April 5th. You'll see that with H-L (and others too) it's easy to set a SIPP up and only takes about 10 minutes.