Registered Pensions

           

20/21

19/20

Lifetime allowance

£1,073,100

£1,055,000

Money purchase annual allowance

£4,000

£4,000

Annual allowance*

£40,000

£40,000

Annual allowance charge on excess 

Applicable tax rate(s) on earnings

Lifetime allowance charge if excess is drawn as cash 55%; as income 25%

Max. pension commencement lump sum 25% of pension benefit value

* Reduced by £1 for every £2 of adjusted income over £240,000 (£150,000 for 19/20) to a minimum of £4,000 (£10,000 for 19/20), subject to threshold income being over £200,000 (£110,000)

 

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