MAXIMUM PENSION CONTRIBUTION AS % OF NET RELEVANT EARNINGS

[MrEarl]

Hello,

I think I know the answer to this, but just to avoid doubt...

If I pay 5% of my salary into my pension as a contribution and my employer pays another 10% into the fund, for tax relief purposes am I deemed to only have put 5% of salary in ?

In other words, if I am aged 35 and have tax relief up to 20% of Net Relevant Earnings, am I right in thinking that only the 5% which I have paid is deducted from the 20% - hence leaving me with a potential tax break on a further 15% of Net Relevant Earnings ?

Many thanks,

 

[Gordon Gekko]

What type of pension is it?

If it's an Occupational Scheme, you are correct, subject to maximum net relevant earnings of €115,000.

 

[MrEarl]

....If it's an Occupational Scheme, you are correct, subject to maximum net relevant earnings of €115,000.

Sorry, should have said - yes, it is an occupational scheme.

Many thanks.