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Make extra pension contributions?
letiss7
Posts: 128 Forumite
Hi,
Just trying to understand the complexities of pensions so bear with me if my terminology is wrong.
OH has a small pension pot from a previous employer and due to her not working has a large gap in NI contributions so will probably be on a small state pension when the time comes.
She has recently gone back into employment after around 15 years of not doing paid work.
Her new employer pays x amount (I say x because i'm not sure what the figure is) into a pension for her but will not pay any more if she pays extra into it.
She is 48.
Her salary is ~16k.
My question is should she pay extra into her pension to build it up and if that is advisable should she try and pay enough into it to take her below her personal tax allowance?
Hope the question makes sense and I've provided enough information
Just trying to understand the complexities of pensions so bear with me if my terminology is wrong.
OH has a small pension pot from a previous employer and due to her not working has a large gap in NI contributions so will probably be on a small state pension when the time comes.
She has recently gone back into employment after around 15 years of not doing paid work.
Her new employer pays x amount (I say x because i'm not sure what the figure is) into a pension for her but will not pay any more if she pays extra into it.
She is 48.
Her salary is ~16k.
My question is should she pay extra into her pension to build it up and if that is advisable should she try and pay enough into it to take her below her personal tax allowance?
Hope the question makes sense and I've provided enough information
No. 5 in the 'Save 12k for 2021' thread.
£4250/£12000
£4250/£12000
0
Comments
-
First thing to do is to find out whether she will receive a full pension as paying for previous years may be a better investment.
https://www.gov.uk/check-state-pension0 -
She should obtain a state pension statement.
Was she at home with children and receiving Child Benefit?0 -
She has signed up for a Gov Gateway ID. so will check the state penion/NI contribution status.
She was at home with kids and we were getting child benefit for some of that time but not all of it.No. 5 in the 'Save 12k for 2021' thread.
£4250/£120000
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