Paying £2880 into pension when retired
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Depends on the conditions on the provider..I think hargreaves lansdown req 1000.
But your theory seems sound, and you can do this until you ar 75No.79 save £12k in 2020. Total end May £11610
Annual target £240000 -
You intend to start contributions from 6/4/2018?
Why not a contribution of £240 a month starting on 6 April 2018 and taken each 6th month thereafter?
You will then have contributed £2880 in the tax year and the provider will claim the tax relief of £720 over the year making a total of £3600.
https://www.ft.com/content/db749266-1ea0-11e7-b7d3-163f5a7f229c
Would you still be able to withdraw £3600 in the tax year 2018/19? I'll be in my 3rd year of doing this, I leave £1000 in my HL account at all times. Thanks0 -
Read through the posts regarding this subject. I am 72 retired and have a total income of £18500 gross, made up of state and company pensions. Am I right to assume I can pay £2880 into a Sipp and claim tax relief of £720 and withdraw £3550 ( £50 left in to keep account open) for the next 3 years.
Many thanks
Maybe more knowledgeable people will put me right, but in your situation, will you gain a lot as you would be already over the tax threshold (£11,500) with your existing pensions, so the 720 tax relief you get added to your £2880, would get taken away again when you withdraw it? You will gain a bit by being able to take out the first 25% tax free, however.0 -
I think it's about £15 a month benefit to basic rate tax payerNo.79 save £12k in 2020. Total end May £11610
Annual target £240000 -
Read through the posts regarding this subject. I am 72 retired and have a total income of £18500 gross, made up of state and company pensions. Am I right to assume I can pay £2880 into a Sipp and claim tax relief of £720 and withdraw £3550 ( £50 left in to keep account open) for the next 3 years.
Many thanks0 -
Hey ho, I'm a bit late finding out about this, but I'd like a bit of advice.
I'm a 61 year old non tax payer, I doubt I will pay income tax until I receive my state pension.
I've started a sipp with Hargreaves Lansdown, deposited £2880 and received the £720 top up so have the £3600. I've got my personal illustration and completed the risk assessment, I'm now waiting for the application.
Now the question.
What's the best way to proceed?
Is it take the £900, then take £1700 in increments over the remaining months till April ( leaving £1000 in to keep the HL account open). Then pay in £240 a month from April and withdraw £240 a month.
Or pay in £2880 next April and withdraw £3600 0ver the 12 months after the £900 has been added.
Or is it something completely different?Winner winner, Chicken dinner.0 -
If you have it in cash, then yiu may as well take it out and put it in a interst paying account,No.79 save £12k in 2020. Total end May £11610
Annual target £240000 -
Ok, thanks.Winner winner, Chicken dinner.0
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Hey ho, I'm a bit late finding out about this, but I'd like a bit of advice.
I'm a 61 year old non tax payer, I doubt I will pay income tax until I receive my state pension.
I've started a sipp with Hargreaves Lansdown, deposited £2880 and received the £720 top up so have the £3600. I've got my personal illustration and completed the risk assessment, I'm now waiting for the application.0 -
Hi, I seem to have gotten somewhat confused as to how these sipp's work. My wife is now 65 with only a state pension (retired at 62) as income £6984 pa. I opened up a H&L sipp in Feb 2016 and have now added 3 x £2880 the cash balance (including the tax rebate) is now £10,800. My confusion arises as some months ago I spoke to H&L about withdrawing some funds without putting the wife into a tax paying position i.e. above her tax free income but still putting in the £2880 every year until she is 75
As I understood it, once we start to draw from this sipp it goes into "drawdown" and no more deposits into the account can be made? Rather a new sipp would have to be opened. Have I got this correct? Can anyone suggest the best way to retain the yearly £2880 investment by myself and draw funds also whilst taking advantage of the tax rebates. Thankyou0
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