What kind of pension do I have?

C

Cluele$$

Registered User
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Hi all, I have a pension plan with standard life called a synergy personal pension [link]. At the start of each month, I pay into it with my net earnings. I want update revenue so I can get tax relief on the plan but revenue have asked me what kind of pension it is and I haven't a clue. Does someone know if it is a PRSA, RAC, AVC or something else?

And when they say tax relief, I assume it's that you don't pay income tax on it. So if I was earning 30k a year, I would get 20% off my payments and if I was earning 70k a year I would get 40% off?

Thanks for the help!
 
A Personal Pension is also known as an RAC.

Cluele$$ said:
And when they say tax relief, I assume it's that you don't pay income tax on it. So if I was earning 30k a year, I would get 20% off my payments and if I was earning 70k a year I would get 40% off?
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Correct. The method of delivery of the tax relief is different whether you're self-employed or an employee, but the amount of tax relief you get is the same.

How long have you been paying into your Personal Pension?
 
Just over 2 years at the moment. I took a look at my tax cert and it looks like they have upped my lower tax band by 20% of my pension payments and also have given me a tax credit of 20% of my pension payments. That is what had confused me, I had only seen the tax credit and thought I was short 20%.
 

Yes, this is the way Revenue give tax relief at 40% on Personal Pension contributions paid through your own bank account. It saves them having to work out the appropriate rate of relief for someone who is only marginally over the 20% rate.
 
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