Paying £2880 into SIPP now I'm in receipt of state pension

Blackcats

Thanks to reading info on this helpful and supportive board my husband has been paying £2880 per annum into his SIPP and benefitting from the top up from HMRC.

he has done this for about the last 5 years when he wasn't working and had no other income.

In Feb this year he began receiving his state pension (hooray 🥳).
he also withdrew approx £8000 from his SIPP in 24/25 financial year.

I'm now not sure whether he is allowed to pay in the £2880 for 24/25 tax year?

If he is allowed is it worthwhile or is it better to put the money into savings?

Very grateful for any input from the clever contributors to this board.

NoMore

Yes he can keep doing it up to age 75. The only thing that would affect it is if he actually started getting some relevant earnings (pension doesn’t count) which means he could potentially put more in. 

molerat

Even if he pays tax on the £2700 taxable element it is still a gain of £180 so a 6.25% profit for locking the money away for maybe 3 months which is a 25% AER.