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NEST pension - help please!
caseydog_2
Posts: 20 Forumite
I'm hoping some of you good people could help us decide what to for the best. My husband retired last June aged 55 - he earned £13,000 in salary April to the date of retirement. He draws a pension of £20,000 pa pension, so June 14 to April will be £15,000. He's taken on some agency work as a subject matter expert and will earn £7,000 Dec to April. Total income will be £35,000. In addition we jointly own a BTL which gives us net £2500 pa each. (I'm in full time work and have 6 years to retirement and will get my own pension of c£20,000 pa and lump sum of £60k. We have c£80k savings - mostly split between high interest current accounts and a further £25k in shares).
The agency has enrolled husband in a NEST pension and we're wondering if we should put 4K before the end of the tax year into this or go down the ISA route.
What would be the maximum we could put into the nest? Would the "gain" be the 25% tax free element he'd get when he cashed in the nest pension as he'd be a basic rate tax payer in retirement.
Any advice would be very gratefully received.
The agency has enrolled husband in a NEST pension and we're wondering if we should put 4K before the end of the tax year into this or go down the ISA route.
What would be the maximum we could put into the nest? Would the "gain" be the 25% tax free element he'd get when he cashed in the nest pension as he'd be a basic rate tax payer in retirement.
Any advice would be very gratefully received.
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