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Help with SIPP's
Starman69
Posts: 5 Forumite
Hi, I was hoping if someone could help me with so questions about SIPP's? I currently have opened a SIPP with one provider. Is it possible to open another SIPP with a different provider?
At the moment I only work part time, two days a week and earn around £600 a month. What can I pay in to my SIPP(s) each year? I have read that I can only contribute £3600 a year, is that correct? If I work full time then I could contribute 100% of my earnings? It also says there is a £40k annual limit??
Can someone clarify this for me please?
Thanks
At the moment I only work part time, two days a week and earn around £600 a month. What can I pay in to my SIPP(s) each year? I have read that I can only contribute £3600 a year, is that correct? If I work full time then I could contribute 100% of my earnings? It also says there is a £40k annual limit??
Can someone clarify this for me please?
Thanks
0
Comments
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You can contribute up to 100% of your earnings. Part time/full time makes no difference.
You can have more than one SIPP, but the question would be, why?Not an expert, but like pensions, tax questions and giving guidance. There is no substitute for tailored financial advice.0 -
Hi,
thanks for your reply and help. I have share portfolios with more than one provider. I was thinking of putting in any profits I made into my SIPP. If I had a SIPP with each provider it would be easier. That was my thinking.
So I can pay in £6k this year based on my pt income but no more than that?
Thanks0 -
You can put £5760 in and this will be grossed up to £7200.
Do you get £600 net or gross a month?Not an expert, but like pensions, tax questions and giving guidance. There is no substitute for tailored financial advice.0 -
Your figures change over your posts. Perhaps one is referring to turnover and the other to profit. You can pay upto your earnings (gross profit) or £40,000 whichever is lower.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
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I get £585 gross a month. I don't think I pay tax as I am under the allowance for the year.
Thanks0 -
I get £585 gross a month. I don't think I pay tax as I am under the allowance for the year.
Thanks
£585 x 12 is £7020. That is your maximum contribution. Of this 20% is from the government, so your contribution would be £5,616 (as in you pay from your bank account).Not an expert, but like pensions, tax questions and giving guidance. There is no substitute for tailored financial advice.0 -
Thanks. Would any dividends from shares also be counted as income in respect of the SIPP?0
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Thanks for you help.0
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