A Flat Rate of Tax Relief?

edited 30 November -1 at 1:00AM in Pensions, Annuities & Retirement Planning
120 replies 15K views
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  • michaelsmichaels Forumite
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    Filo25 wrote: »
    The current specualtion seems to be halving the annual allowance, with maybe pushing the taper to lower incomes as well, although if the AA goes down to 20k and we still taper to 10k it makes the impact more muted anyway.

    If that went through it would pretty much kill any chance of me having a semi comfortable earlyish retirement.

    Looks like I chose a bad time to start earning enough to put more sizeable amounts into my pension, and to get hit with a 62% marginal rate (a change to the taper could even make it worse), might just investigate the possibility of going part time, just doesn't seem worth the hassle to work your backside off when you see so little of the benefit yourself.

    It gets to the point where it makes more sense to take some of your retirement now on a part time basis than taking it all in a block at some point past age 55....

    I have read a suggestion that they will make all pension contributions NI able,the implication would seem to be a small hit to employees but a huge one to employers, can't see it myself as the NI rate weirdness for employees would make this appear regressive.
    I think....
  • ThrugelmirThrugelmir Forumite
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    Filo25 wrote: »

    Supposedly also looking at abolishing the carryforward of Annual Allowance, wouldn't be a shock if that was brought in with immediate effect, to avoid people stuffing their pensions this year before the new rules would kick in

    Simply doing nothing is the silent assassin approach. People will breathe a sigh of relief. Without realising the consequences. Changes however subtle will be forecast into the savings in the years ahead.
    It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." — George Soros
  • AlexlandAlexland Forumite
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    Right it's finally budget day - everything crossed for no AA or LTA reductions....
  • MK62MK62 Forumite
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    Alexland wrote: »
    Right it's finally budget day - everything crossed for no AA or LTA reductions....
    You make it sound like it's something to look forward to, like going on holiday, or Christmas morning.....:wink:
  • AlexlandAlexland Forumite
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    MK62 wrote: »
    You make it sound like it's something to look forward to, like going on holiday, or Christmas morning.....:wink:

    More creepy and disturbing like Halloween. I don't want to be touched this year....
  • Filo25Filo25 Forumite
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    Alexland wrote: »
    More creepy and disturbing like Halloween. I don't want to be touched this year....

    :T

    Every year with no changes is a win as far as I'm concerned!
  • Filo25Filo25 Forumite
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    Thrugelmir wrote: »
    Simply doing nothing is the silent assassin approach. People will breathe a sigh of relief. Without realising the consequences. Changes however subtle will be forecast into the savings in the years ahead.


    To be honest no change for the forseeable would work for my "model" at present, even with the graual erosion of the AA with inflation.
  • The_Green_HornetThe_Green_Hornet Forumite
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    Today's budget will be a damp squib. It is the post-Brexit emergency budget you should all be worrying about.
  • westvwestv Forumite
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    Today's budget will be a damp squib. It is the post-Brexit emergency budget you should all be worrying about.



    Will it be as bad as the post Brexit vote emergency budget?
  • Filo25Filo25 Forumite
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    Today's budget will be a damp squib. It is the post-Brexit emergency budget you should all be worrying about.

    Depends if there is a deal or extension really.

    But I agree if there is no deal and we still have the same chancellor, I think he would take the cover provided by a no-deal Brexit (and the pretty undeniable financial damage it would cause) to push thorough a fair few politically unpopular changes which he has probably wanted to do for a while.

    Whether any of those changes would actually get through Parliament is another matter though given that a fair few Tories have tied themselves to the position that no form of Brexit could possibly have any adverse economic effects.
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