Self-employed vs limited company for pension

mountaindreams

Hello,
I am looking at starting to pay into a pension again. I am currently self-employed (sole trader) however was wondering if it is worth going down the limited company route from a pensions point of view.

I did have a limited company before I had my kids so I do have experience of running one. When I started working again after having my kids I decided to start off as Sole trader for simplicity and as I am working part time I didn't think there were significant advantages (certainly tax wise) of going limited company again.

How do pension payments work via limited company? Do both I and the company pay into it? I believe that payments the company makes would reduce my corporation tax liability.

dunstonh

however was wondering if it is worth going down the limited company route from a pensions point of view.

it's usually worth going limited when you earn above £35K. An accountant will know the figure more accurately than me.

How do pension payments work via limited company? Do both I and the company pay into it?

All retail pensions can accept personal or employer contributions. So, the pension itself will be no different. However, a limited company would use employer contributions only where its own company shareholding director.