Paying into my SIPP with money I have not yet earned ?

JRHARTLEY

I'm a self employed basic tax payer who does a self assessment tax return each year. I pay into a SIPP I have on an ad-hoc basis. In the new tax year I wish to ad £10000 to my SIPP on the 6th April. This is money I have not yet earned but will get £2500 tax relief back a few weeks later. Does this matter as I know my pension contributions shall not exceed my profits during the tax year.

Thanks

Dazed_and_C0nfused

Providing your taxable profit is £12,500 or more and you haven't already triggered the MPAA then it's fine.

If your profits turn out to be less than expected then you can usually arrange a refund via the provider.

https://www.gov.uk/hmrc-internal-manuals/pensions-tax-manual/ptm045000#:~:text=Refund of excess contributions lump sum,-Sections 188(2&text=Where a member has paid,be repaid to the member.

JRHARTLEY

Thanks for clearing that up! Appreciate it.

MX5huggy

Have sales to the fly fishing book dried up? I believe authors royalties are pensionable.