Early Retirement

Jack_Itin

Thanks jem, I shall contact the pension department in the morning.....Jack

Jack_Itin

For the sake of discussion, say I were to earn £14000 a year, including pension, roughly how much income tax would I be liable to pay ?......Jack

atush

3.5k *20%? = 700?

Jack_Itin

Thanks for that, I'm told that the £10000 threshold may change in April 2015......is that correct ?............Jack

jem16

Jack_Itin wrote: »

Thanks for that, I'm told that the £10000 threshold may change in April 2015......is that correct ?............Jack

It will do. Reports state that it will be £10,500 which is what atush based her calculations on.

Jack_Itin

Thank you......I did wonder why £3.5.....Jack

Jack_Itin

Hello, not been on for a while, but my early retirement date is rapidly approaching, and wanted to clarify a few things......... I finish full time employment at the end of April and switch to part time hours, which are still to be decided......possibly 2 1/2 or 3 days a week.....I shall get about £470 a month pension (after taking lump sum).....is that £470 included in my total earnings for tax purposes ?............Jack

Linton

Jack_Itin wrote: »

Hello, not been on for a while, but my early retirement date is rapidly approaching, and wanted to clarify a few things......... I finish full time employment at the end of April and switch to part time hours, which are still to be decided......possibly 2 1/2 or 3 days a week.....I shall get about £470 a month pension (after taking lump sum).....is that £470 included in my total earnings for tax purposes ?............Jack

Yes.....................................

Jack_Itin

Thanks Linton, Thought that was right......as I said, just clarifying things.......is it £10,500 that you can earn now ?......or rather , will it be in April ?................ Jack.

atush

I beleive they put it up to 10,600.

but if you open a new DC Personal pension, and put the money in that, you can get your tax back?

This you can keep doing until you actually retire. And then w/d the money using what is left of your PA?