pension question

NannaH

Was it not clearly explained at the time you took your tax free lump sum (  just to clarify - was it the entire 25%?)
that every further penny of income you take is taxable if it falls above your personal allowance? 

If you didn’t take the entire 25%,  then you will have another tax free portion from the uncrystallised part of your pension.  So if you took 20% you would still have 5% to take tax free. 

Dazed_and_C0nfused

I think we've been here before

https://forums.moneysavingexpert.com/discussion/6444627/pension-pot

NannaH

If you earn say £30k and you take another (taxable) £30 k from your pension,  you will be pushed into the 40% tax bracket on some of it. 

So on £60000 income,
you would pay £11500 in tax ,  £3900 of which would be the £40% bit. 

aayush

say I want to gift my son some money from my pension would it tax-free as he is still a school

GrumpyDil

aayush said:

say I want to gift my son some money from my pension would it tax-free as he is still a school

No. You would need to withdraw the money at which point it would be taxed. 

DeLaSole

Hi aayush,

Given your circumstances (as stated in your other thread linked above), have you sought advice from a family law solicitor yet?

Best wishes.

NannaH

There are no circumstances under which you can take money out of your pension ( assuming you use your full personal allowance in employment or other taxable income)   when you have taken the full tax free lump sum allowable,  that you won’t pay tax at your marginal rate. 

What you plan to do with it is irrelevant.