Avoiding higher rate of tax

DJ123

Yorkie1 said:

Albermarle said:

Getting higher rate tax relief on pension contributions is normally a good thing . However as mentioned if you are only just above the higher rate limit, then the higher rate relief will only be small.

Although, there is also the fact that if you move into the higher rate, only £500 of your savings interest is then taxed at 0%, as opposed to £1000 if you're a basic rate tax payer.

Might not be relevant to the OP, but worth reminding others.

Thanks. I may have known this at one time but I am glad you reminded me as I'd forgotten!