Pension payments

redmalc

Hi Guys
Can some advise me on the following I have been lucky enough to have had a record year at work and hit some big targets so I need to be sure I can Pay the following into my pension.
2016/17; 2017;18 ; 2018/19 I have three years allowance of £120,000 and actually paid in £85,000 leaving an unused allowance of £35,000
I have been awarded a £50,000 bonus so can I Salary sacrifice the £35,000 unused allowance from previous years and then pay the remaining £15,000 into this years pension allowance also by salary sacrifice
I hope this makes sense and any advice would be appreciated

Thank You

Paul_Herring

A quick glance at your figures indicates, legally, yes.

This year's allowance: £40K
Carryover: £35K

So you can sacrifice up to £75K (minus any other contributions, such as employer) provided:
1) You're actually earning [whatever you're sacrificing here]+[whatever other contributions are sacrificed]+[whatever minimum wage would work out to be]
2) You've not actually earned sufficient this year to reduce that £40K allowance for this year (the £110K/£150K amounts)

However one barrier may be ensuring your work is capable of dealing with such a one-off salary sacrifice. I was in a similar position a couple of years back, and I ensured that they would allow the bonus to be sacrificed by asking well before it was due.