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    • AlanLebadger
    • By AlanLebadger 15th Mar 17, 8:53 PM
    • 1Posts
    • 0Thanks
    What net payment do I need to make into SIPP
    • #1
    • 15th Mar 17, 8:53 PM
    What net payment do I need to make into SIPP 15th Mar 17 at 8:53 PM
    I have completely confused myself with this and just need to sense check what to do.

    My total pay for this tax year 16/17 will be 113,000.

    What is the cash payment I need to make into my SIPP to fully avoid losing my personal allowance?

    I think the gross contribution needs to be 13k (at least I hope that's right anyway...). Does that mean I need to make a net payment of 10,400 in total into my SIPP which will get grossed up by my SIPP provider claiming BR relief and count as a gross contribution of 13k on my tax return?

    Thanks in advance....
Page 1
    • Dazed and confused
    • By Dazed and confused 15th Mar 17, 9:28 PM
    • 2,467 Posts
    • 1,179 Thanks
    Dazed and confused
    • #2
    • 15th Mar 17, 9:28 PM
    • #2
    • 15th Mar 17, 9:28 PM
    A payment of 10400 (the net of basic rate tax relief amount) would be grossed up to 13000.

    What about other income though such as employer benefits and savings interest? You need to consider the whole picture not just "pay".
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