Using pension contributions to trigger bigger student loan

kangoora

zagfles wrote: »

It'll be the grossed up amount, they use gross household income.

Thanks, need to fire up the family budget spreadsheet tonight I think

zagfles

The other thing to bear in mind is if you're making large pension contributions your income might become low enough to claim tax credits now, while your child is doing A-levels, particularly if you have younger children as well. With one eligible child the limit is about £26k, with 2 it's about £32k (although the first £2500 drop in income from the previous year is ignored).

Tax credits are being replaced with universal credit but I think only a very small number of areas have rolled UC out for families. So most people with kids will be able to claim tax credits still. UC has capital rules but tax credits don't.