Pension contributions after taking lump sums

Bungl3

Assistance please.
Have 3 pensions. Taken 25% from two older ones, and have a current one I still pay into. Now approaching the end of my mortgage :-) Looking to plough what I was paying on my mortgage into my pension (salary sacrifice), however am I restricted to £10,000.00 a year.
Cheers 

Sarahspangles

Bungl3 said:

Assistance please.
Have 3 pensions. Taken 25% from two older ones, and have a current one I still pay into. Now approaching the end of my mortgage :-) Looking to plough what I was paying on my mortgage into my pension (salary sacrifice), however am I restricted to £10,000.00 a year.
Cheers 

Are you asking if you are restricted? I think you are, because the MPAA of £10k is under the Annual Allowance arrangements and that includes employer contributions.

GrumpyDil

Have you taken anything other than TFC? If not then no you are not limited to £10,000.00 per annum assuming your earnings are greater than £10,000.00.

Marcon

Sarahspangles said:

Bungl3 said:

Assistance please.
Have 3 pensions. Taken 25% from two older ones, and have a current one I still pay into. Now approaching the end of my mortgage :-) Looking to plough what I was paying on my mortgage into my pension (salary sacrifice), however am I restricted to £10,000.00 a year.
Cheers 

Are you asking if you are restricted? I think you are, because the MPAA of £10k is under the Annual Allowance arrangements and that includes employer contributions.

I think this might be confusing two issues.

The Money Purchase Annual Allowance would only be triggered if someone 'flexibly accesses' a defined contribution pension. Just taking the 25% tax free lump sum doesn't trigger it, so unless OP's reference to 'taking 25%' means they took a combination of tax free cash + some taxable cash, the MPAA hasn't been triggered and the usual Annual Allowance of £60K remains.

GrumpyDil said:

Have you taken anything other than TFC? If not then no you are not limited to £10,000.00 per annum assuming your earnings are greater than £10,000.00.

Contributions made by salary sacrifice are deemed to be employer contributions, and OP has said that's how the contributions will be made. The only 'issue' would be if they tried to salary sacrifice below minimum wage, which isn't allowed.

Bungl3

Thanks for the answers - appreciated. Only taken 25% tax free cash out, phew thought i'd got it wrong and was going to have to pay 40 % tax still, means i can still salary sacrifice and save that as well as some NI. Cheers