Knocking on the door of £50k 29 January at 6:10PM in Pensions, annuities & retirement planning 5 replies 889 views

MX5huggy

Very keen to avoid the High Income Child Benefit Charge. 

I think we’re OK while Gross Pay is on Course to exceed £51000 “Gross for Tax” is going to be under £45000. 

Januarys Pay slip shows monthly pay and Year to date as follows. 

saucer

Is this a question or an update?

Sunnylifeover50plan

If you do get close to the threshold wouldn't you simply pay an additional pension contribution? 

MX5huggy

saucer said:

Is this a question or an update?

The formation of the question answered the question, but then I wanted to continue to check that my understanding was correct. Based on pay rise already agreed for this April this time next year, might be closer. 

Sunnylifeover50plan said:

If you do get close to the threshold wouldn't you simply pay an additional pension contribution? 

Yes into a separate SIPP in the next 8 weeks. 

Universidad

Do you have to file a return for this, even if your adjusted income is below 50K, if your gross was above it?

MX5huggy

Universidad said:

Do you have to file a return for this, even if your adjusted income is below 50K, if your gross was above it?

No - put your numbers through the calculator https://www.gov.uk/child-benefit-tax-calculator it will tell you if you need to file a return. There may be other reasons you have to file a return. (Property income, dividends etc).