redwellies
Registered User
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- 38
I recently got a promotion (Public Servant) resulting in just under €5k additional earnings per year, gross.
If I was to put all of this additional money into a pension, would I then reduce my annual tax on my typical fortnightly take-home wages?
Is this how it works?
At present I am only coming home with around 48% of that €5k each year because of various deductions- tax, usc, pension levy etc
If I put it all into a pension, do I then have that €5k in the pension pot while my annual tax burden is reduced by 40% of the €5k total….
I hope this makes sense…. Trying to get my head around it….
If I was to put all of this additional money into a pension, would I then reduce my annual tax on my typical fortnightly take-home wages?
Is this how it works?
At present I am only coming home with around 48% of that €5k each year because of various deductions- tax, usc, pension levy etc
If I put it all into a pension, do I then have that €5k in the pension pot while my annual tax burden is reduced by 40% of the €5k total….
I hope this makes sense…. Trying to get my head around it….