Bonus sacrifice

CDB199

40k is max you can put in per tax year - is it easy to use "unused" allowances from previous years?

is it simple task of filling out forms once they say you've gone over???

will i incur any penalties?

kidmugsy

You can carry forward to this year any annual allowance you didn't use up in the previous three tax years. No penalties on doing it as long as you don't breach the allowances. I suggest you start off by calculating what was unused from the allowances in 14/15 (£40k), 13/14 (£50k) & 12/13 (£50k).

CDB199

i definitely haven't gone over as the most i've paid in is 7k in previous years. not even worth me calculating tbh.

is it just a matter of going ahead and then they send you a letter telling you you've gone over and you take it from there?

zagfles

CDB199 wrote: »

i definitely haven't gone over as the most i've paid in is 7k in previous years. not even worth me calculating tbh.

is it just a matter of going ahead and then they send you a letter telling you you've gone over and you take it from there?

Company contributions count towards the limit as well. You don't need to do anything to carry forwards allowance but you do need to have the figures ready in case HMRC query it so make sure you get your pension input amounts from previous years.

arbster

You can use this handy tool to check your carry-over allowances:

http://www.hmrc.gov.uk/tools/pension-allowance/calculator.htm