Does the pension levy eat into my 30% tax relief allowance.

[sfag]

I'm in my forties and now pay about 13.5% annuation total towards my pension.
6.5% of this was the normal annuation deduction and 7% of it the new pension levy.
I want to top up my pension. I am limited to 25% of my annual salary. Does this mean I am limited to a further 11.5%?

 

[Towger]

The Pension Levy (aka Pension Related Deduction) has nothing to do with your Pension, except that it has the word 'Pension' in its name. It has no effect on the age bands for max pension contribution.

 

[sfag]

You sure.
So its not the same as the 6.5% annuation contribution?

 

[jpd]

The Pension Levy is just an income tax taken from Public Service and Civil Services wages, salaries and pensions.

It isn't called a tax because that has negative vibes but a tax it is - nothing to do with pensions.

Idem the Health Levy - this has absolutely nothing to do with Health.