Save as you earn SAYE transfer into SIPP

gambleruk

As anyone ever transferred there SAYE into a pension instead of an ISA, there are plenty of articles on the ISA side of things but cannot find much info on the pension side. 

My main question is if you were to transfer £8,000 from SAYE to a SIPP would you get tax relief of £2,000 ?

Also how would this affect further contributions in the same year, for instance say you want to max out your pension to your full earnings that year as well, £20,000 so you put £16,000 in to make it up to £20k that year, is it possible to add the SAYE £8k to make a total of £30k into your SIPP for the year or does SAYE not count as earnings ?

artyboy

I suspect the reason you've not seen anything about it is that isn't a thing. The ability to transfer directly into an ISA is a very specific provision within SAYE rules, whereas there is no mention of being able to do the same into a pension.

It certainly wouldn't count as relevant earnings for your annual allowance, as it is investment income.

Somebody

Just seen this thread.  Yes, you can transfer SAYE shares to a SIPP - I've done it before with HL  And you do get the tax relief on top of the value of shares transferred.  The SIPP provider will notify you of the deemed nett contribution based on the value/price on the date of transfer.

https://www.gov.uk/tax-employee-share-schemes/save-as-you-earn-saye

gambleruk

Thanks for the link, another 18 months before my wife can do anything with them but that could well be the best option for us.

artyboy

Somebody said:

Just seen this thread.  Yes, you can transfer SAYE shares to a SIPP - I've done it before with HL  And you do get the tax relief on top of the value of shares transferred.  The SIPP provider will notify you of the deemed nett contribution based on the value/price on the date of transfer.

https://www.gov.uk/tax-employee-share-schemes/save-as-you-earn-saye

Well every day is a school day! Thanks for correcting me on this, really didn't think it was possible (wouldn't have affected my own decision but useful to know).

MallyGirl

artyboy said:

Somebody said:

Just seen this thread.  Yes, you can transfer SAYE shares to a SIPP - I've done it before with HL  And you do get the tax relief on top of the value of shares transferred.  The SIPP provider will notify you of the deemed nett contribution based on the value/price on the date of transfer.

https://www.gov.uk/tax-employee-share-schemes/save-as-you-earn-saye

Well every day is a school day! Thanks for correcting me on this, really didn't think it was possible (wouldn't have affected my own decision but useful to know).

Same here. I jumped through the hoops of transferring some of the SAYE shares to my husband last time to avoid CGT.
Once it is in the ISA you can presumably just sell then as the link to CGT is broken.

sandysprot

Do all pension providers allow this, or is it just a few?  Just wondering if my husband will be able to do this with some SAYE shares coming up next year.