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Contributing to a SIPP after taking DB Pension

Hi.

My wife took her DB Pension in 2021, cash lump sum and monthly payment.  She is a Director of our Ltd Company and takes a salary and dividends, she also has an AJ Bell SIPP which isn't in drawdown yet.  Can our Ltd Company make contribution to her SIPP and is it restricted to the annual allowance ? Is the annual allowance now £10,000.00 uplifted from £4,000.00?

Comments

  • NoMore
    NoMore Posts: 1,439 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    DB pensions don't trigger the MPAA (the 10k limit you refer to).

    So as long as she hasn't taken taxable income from a DC (not DB) pension you can contribute up to the AA (60k per year) from her company, plus she could possibly make use of carry forward of the unused AA of the previous 3 years before that as well.
  • NoMore said:
    DB pensions don't trigger the MPAA (the 10k limit you refer to).

    So as long as she hasn't taken taxable income from a DC (not DB) pension you can contribute up to the AA (60k per year) from her company, plus she could possibly make use of carry forward of the unused AA of the previous 3 years before that as well.
    Thanks, I enquired a few months ago but could not find any evidence to support this. Apparently when she completed the paperwork for her DB Pension she signed a declaration stating she would not make any contributions to another pension; however, we can find any evidence of that, and she could be confused with a DC pension she had which she later transferred into her SIPP. Is this documented anywhere on .gov.uk website? 

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