Is it morally wrong to put large amounts into pension.

[Gearandglasses]

I found out that my exh is doing this and is therefore paying less than 40% tax and also making CSA think that he is not as high an earner as he thinks. The difference is significant, think school fees for two per year.
I don't need the money to live since I work and take care of the children full time, it just seems a little off that he'd prefer to put money away instead of buying things for the children now, whilst they are small. It just left a bitter taste, since I have nothing left each month to even think about a pension let alone high contributions as all my money goes on the children.

In a sense, does it matter if he is “trying to” or not, if the net effect is the same ie that OP receives CMS payments based on a salary around 40-50k less than his actual gross pay?

If he's your ex and you have settled and he pays maintenance, it's really none of your business.

There is a limit to what % of earnings can go into a pension.
Nothing morally right or wrong about making financial decisions.

I genuinely don't know where you are coming from on this unless you feel he doesn't spend enough on your kids' birthdays etc.

He's sticking enough money into his pension to pay for two sets of school fees each year - so probably £40K ish - bringing his tax into the lower bracket too. So clearly he's not paying what he should be in child support to the OP. He's using a financial loophole to dodge his responsibilities. I despise men like this. Not sure why any woman would ever try and defend this, when we're the ones left holding the baby(ies) and paying for them too.

How do you work that one out? You've made some massive leaps and the fact is he's an ex and they've agreed a settlement.

He could earn £200K pa so putting £40K into a pension won't reduce him to a lower tax band. Anything over £150K is the highest tax band.

@JHound why is he clearly doing it for that reason? Have you asked him?

He's paying into a pension scheme, which is entirely sensible, and following the official guidance for notifying the csa about those payments. Nothing wrong with any of that but "grrrr, men" right?

Is he self employed? I’m not sure how he can hide his true income if he’s paid PAYE, because it will be on his payslip, and surely the CSA would need actual proof and not just his word on how much he earns. If he is self employed then they would surely want to see his tax return.

Because OP said about the school fee comparable amount in her first post…

Yes for him. But what about his kids, right now?

I know. But we don't know his gross income do we?

He doesn’t have to hide it. CSA explicitly base it on gross income after pension contributions

Settlements don't include child support. He's declaring an income that's at least £40K less than he actually earns to the CSA in order to reduce his child support payments.

Why should his ex wife be spending every penny she earns to keep herself and THEIR kids afloat and can't afford a pension herself, when he can afford to save £40K a year into his?

Legally, he has to declare his gross income.

Oh I see, I’m not familiar with how the CSA works.

You edited your post after I started my post. So my original quote was of the first paragraph and I was pointing out that the £40k wasn’t a massive leap.

Sorry but I didn't edit my post in the way you suggest.

I edited his possible annual income, from a higher amount showing that anyone with over £150K is still taxed at the highest rate.

Yes but as we've discussed upthread, gross income isn't how the CSA works out payments.

@Lilplp so is it your view that divorced parents shouldn't be able to make pension contributions? That seems a bit extreme.

I have linked and quoted upthread, if you want to read more.

Did that to me too - hard to argue with someone who edits their posts after you've written yours.

My exH did this (high earner) and, like you, I work (not high earner) so could afford to pay for things DC needed, bills etc. (He also used to tell DC that he had no money as mummy takes it all!).
If we'd had the extra money I could have saved for DC to have money for University/training or been able to reduce my mortgage/put more into my low part time pension (as I did all the wrap around care).
Our youngest now lives with him and I pay him the full support money based on my wages and at the same time our 18 year old lives for free with me and has no support from him (she's an apprentice).
Ultimately his behaviour is his behaviour and I won't be drawn into it. There will be a point I'll start to charge my DD low rent contributions when her wage increases, but my lower pension due to having DC is what I see other women also unfairly going through.
I've been full time for around 6 months now and I'll continue to build it up over the next 20 years. He'll no doubt be able to retire early.

Your point is? Any edit didn't change the actual message.

Why edit it then?

Why query it?

It was likely to be a spelling or something minor.

That’s not my recollection. But YMMV.

They are divorced, her savings are non of his business.
If the pension contribution is £40k then the CM payment will be large and at some point OP is responsible for her own finances. It’s not his fault the OP doesn’t contribute to a pension.