There are limits on the pension savings that you can make before you become subject to a tax charge. A pension savings tax charge is over and above any tax that may be due under the PAYE system.
Annual Allowance for Deferred Members
This is the amount by which your pension savings can increase in any one year before you have to pay a tax charge.
Lump Sum Allowances for Deferred Members
From 6 April 2024 the Lifetime Allowance was abolished and replaced with two new allowances, a Lump Sum Allowance and a Lump Sum and Death Benefits Allowance: The new allowances set out above may have a higher value if someone has Lifetime Allowance (LTA) protection such as Fixed Protections or Individual Protections. It will be possible […]
Lifetime Allowance to 6 April 2024
This was the total, tax-privileged capital value (£1,073,100 for 2023/24) of all your pension arrangements that you could build up during your lifetime, up to 5 April 2024.