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Tax credit and pension contributions

I currently only claim tax credits, I pay £23 per month for my company pension. I now have the option of paying an additional £38 per month and my company will make matched contributions.
I have entered the revised amount of pension contributions ( 61 instead of 23 ) onto the tax credit calculater expecting my estimated tax credit amount to decrease, however it increases- is this correct?

Comments

  • sheramber
    sheramber Posts: 23,281 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    If you pay £38 more pension payments then your net income is ls £38 less, so your tax credit increases
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