NHS car leasing in the year before retirement

mor_2mor_2 Forumite
2 Posts
Part of the Furniture First Post Combo Breaker
I am struggling to understand this!
I will be retiring from NHS Scotland next year (8 July 2022) at age 55. I pay 9.5% and my employer pays 20.8% to my 1995 final salary pension scheme. I am a Special Class member so my normal pension age is 55.
I earn £46006 per year. 
I have an NHS Lease Car and the lease ends in March 2022 but I will be allowed to extend the lease to my retirement date if I wish. 
2 questions:
(1) Should I give up my lease car a few months before I retire so that my pension is based on a higher final salary? 
(2) As the NHS  Lease Car Scheme is a salary sacrifice scheme am in the higher tax bracket of 41% in Scotland? The threshold is £43,430. My car costs me £140 per month and my employer pays the rest.

Sign In or Register to comment.
Latest MSE News and Guides

Did you know there's an MSE app?

It's free & available on iOS & Android


Regifting: good idea or not?

Add your two cents to the discussion

MSE Forum

Energy Price Guarantee calculator

How much you'll likely pay from April

MSE Tools