Pension advice
I work in a public service role(salary - 50k, current age 35) but also have a small limited company which I would like some advice about.
I don’t take any salary or dividends from the company and currently any money made in the company is reinvested back into stock and equipment. However I forecast that this will change in the near future- and I am considering the most tax efficient way of getting this money into my name,
I am wondering about the best way of getting this money into an executive pension? My thinking is to start paying myself a small salary (maybe 1k per month).I don’t want to pay myself more as of yet because I am already paying higher rate tax on my public service job. Then in about 5-10 years I could take a career break from my job and increase that salary to 3-4K per month.
If I then start an executive pension in 5 or 10 years, would the years on the lower salary enable me to make larger pension contributions? Looking at old threads on here I feel like this would but not entirely sure.
I will absolutely be getting professional advice- but just would like to have an idea of a plan before talking to anyone else.
I work in a public service role(salary - 50k, current age 35) but also have a small limited company which I would like some advice about.
I don’t take any salary or dividends from the company and currently any money made in the company is reinvested back into stock and equipment. However I forecast that this will change in the near future- and I am considering the most tax efficient way of getting this money into my name,
I am wondering about the best way of getting this money into an executive pension? My thinking is to start paying myself a small salary (maybe 1k per month).I don’t want to pay myself more as of yet because I am already paying higher rate tax on my public service job. Then in about 5-10 years I could take a career break from my job and increase that salary to 3-4K per month.
If I then start an executive pension in 5 or 10 years, would the years on the lower salary enable me to make larger pension contributions? Looking at old threads on here I feel like this would but not entirely sure.
I will absolutely be getting professional advice- but just would like to have an idea of a plan before talking to anyone else.