Money Purchase Annual Allowance once receiving State Pension

savemymoney2011

Its quite clear that once you start to draw down from a personal pension the amount you can put back into them and receive tax allowance drop from £60k to £10k.
What I cannot find HMRC or elsewhere is if the £60k limit is affected by receiving the State Pension.

I am still working and paying into pension funds, but no longer full time so started taking State Pension to make up the difference, I havent accessed any personal pension funds. I have over 10k of funds I have come into and want to put it into my SIPP and receive tax allowance - but obviously not if don't receive tax allowance to overcome getting taxed when I draw it back out.

??

FIREDreamer

State pension is irrelevant but if you have no earned income the maximum you can pay into a pension is £3,600 gross / £2,880 net per annum.

masonic

The rule was put in place to limit recycling to get tax relief more than once on the same money. State pension is quite separate to this consideration. The other limit is the earnings limit, but if you have sufficient earnings in the year you make the contribution, then this should not be an issue.

Dazed_and_C0nfused

savemymoney2011 said:

Its quite clear that once you start to draw down from a personal pension the amount you can put back into them and receive tax allowance drop from £60k to £10k.
What I cannot find HMRC or elsewhere is if the £60k limit is affected by receiving the State Pension.

I am still working and paying into pension funds, but no longer full time so started taking State Pension to make up the difference, I havent accessed any personal pension funds. I have over 10k of funds I have come into and want to put it into my SIPP and receive tax allowance - but obviously not if don't receive tax allowance to overcome getting taxed when I draw it back out.

??

Staring to get your Stats Pension doesn't mean MPAA comes into play.

If you add £10k then you will get £2.5k in tax relief making a gross contribution of £12.5k

Presumably you are wanting at least that amount in this tax year?  State Pension doesn't count as earnings for pension contribution purposes.