We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
income drawdown paid to spouse
gericom10
Posts: 34 Forumite
Is it possible to have income drawdown paid to my wife as she does not work to avoid as little tax as possible.
I intend to take the 25% TFC at 50, but carry on working. I know I could leave the income without drawing any, but would prefer to access the approx £7K a year. As I am a basic rate taxpayer but close to the 40% bracket, I don't want to take the £7K if all of it gets taxed heavily.
The pension plan is with NU and is in my name.
Both of us will be 50 before 2010
I intend to take the 25% TFC at 50, but carry on working. I know I could leave the income without drawing any, but would prefer to access the approx £7K a year. As I am a basic rate taxpayer but close to the 40% bracket, I don't want to take the £7K if all of it gets taxed heavily.
The pension plan is with NU and is in my name.
Both of us will be 50 before 2010
0
Comments
-
Nope, not allowed.You could give the 25% tax free cash to your wife so that the income from that is in her name.
It's at times like these that people realise that tax relief is really tax deferred.
I do hope you got higher rate relief going in, it would really be very bad planning to get basic rate going in and pay higher rate coming out
A sackable offence if an advisor was involved IMHO.
Trying to keep it simple...0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.3K Banking & Borrowing
- 254.4K Reduce Debt & Boost Income
- 455.4K Spending & Discounts
- 247.3K Work, Benefits & Business
- 604K Mortgages, Homes & Bills
- 178.4K Life & Family
- 261.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards