Redundancy & pensions/fsavcs

allicat

Hi,

I was made redundant in March but didn't get the payoff until this financial year (so I have paid tax this year).

a) Can I keep on paying into my fsavc (I believe this is now called a private pension?) or do I have to suspend it until I get a new job?

b) Do I have to advise the pension company that I am not currently working?

I'm intending to have a "gap year" so may not work again this financial year.

Thanks

Allison

david78

Your FSAVC is now a personal pension, so you can carry on paying into it if you are not working at the company. It ceased to be "linked" in any way to your company pension on pensions "A - day" (6 April 2006) and the 15% combined limit disappeared from then too.

You don't need to tell the pension company that you are not working. You will only get tax relief at source for contributions up to £3600 gross (£2880 net or £240 per month net) if you are not working.