We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Sudden salary increase from 40k to 60k - increase pension contributions
Comments
-
Did OP ever actually state that the pension contributions were RAS Relief at source? I might have missed it in this thread?
If not - OP you should check how your pension contributions are done today as it makes a difference to some of the above comments - it will be one of :
Relief at source
net pay
salary sacrifice.1 -
The figures he posted looked like RAS.
It's a minor point but i don't think the explanations are quite correct for Scotland. RAS contributions increase the "Scottish basic rate limit" to quote from my tax return, so reduce the amount taxed at 21% as well as at 42%.
However this is done after the event at the tax return stage. The payroll will still tax at 19, 20, 21 and 42% just as if they didn't know about the RAS contributions.1
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.6K Banking & Borrowing
- 254.5K Reduce Debt & Boost Income
- 455.5K Spending & Discounts
- 247.5K Work, Benefits & Business
- 604.4K Mortgages, Homes & Bills
- 178.6K Life & Family
- 261.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards