Added Pension

Tonyacs

Thank you for the links, I'll take a look. I still  can't see it.
Thank you all. 

Tonyacs

***UPDATE***

HI Regarding the above link although few years old now. My added contributions to my work pension have been given back to me due to a ruling and Now need to add them back as the work pension scheme was changed. I have in total paid in £30,000 and received £23.400+ back minus tax. Considering this isn't income but savings should I have been taxed and could I claim it or part of it back.

Many thanks for any advice you can provide.

hugheskevi

My added contributions to my work pension have been given back to me due to a ruling and Now need to add them back as the work pension scheme was changed. 

Be aware the price of Added Pension has changed, and is now based on a rate of return of CPI+1.7%. You should consider whether Added Pension is still the best use of the funds, compared to other options such as a personal pension.

I have in total paid in £30,000 and received £23.400+ back minus tax. Considering this isn't income but savings should I have been taxed and could I claim it or part of it back.

You have received compensation for your past contributions, plus interest. This was calculated by looking at your gross contributions, and reducing these by the amount of tax relief provided on the contribution. Then interest was added based on the net (ie gross amount less tax relief) amount.

The important point here is that you have not been taxed - the calculation of the amount owed took account of past tax relief awarded and removed that. All of the payment you have received, both in relation to the past contributions and interest, is compensation and is not taxable. You cannot claim anything back, as you have not paid any tax.

You may find this document helpful.

alanyau88

Tony,

The police pension has been revamped with pension traps everywhere. Yes this will be a kick in the teeth for you. I recommend you make the money work for you rather than throw it into a CPI+1.7 rate. By the time you recoup your money you’re be in your 80’s. Worth it?

not a chance!