Meet the Other Phone. Only the apps you allow.

Meet the Other Phone.
Only the apps you allow.

Buy now

Please or to access all these features

Money matters

Find financial and money-saving discussions including debt and pension chat on our Money forum. If you're looking for ways to make your money to go further, sign up to our Moneysaver emails here.

Pension and tax allowance

3 replies

ByHappyChance · 15/10/2012 14:24

Is it better to apply your tax allowance to your salary (£25000pa) or to a pension (£9000pa)?
Many thanks!

OP posts:
riksti · 15/10/2012 17:53

I don't think it really matters unless they're paying at different intervals. If you get your salary monthly and the pension also monthly then there isn't much of a difference. Even so, the overall tax bill should be the same regardless.

LIZS · 15/10/2012 17:57

Makes no odds. Probably easiest to apply to the larger amount via paye otherwise eventually you may find allowances being split between both which can lead to over/under payments of tax.

Notmadeofrib · 15/10/2012 20:19

If some of it is a state pension you have no choice, they will collect via a salary. Be aware thought that this exact scenario is where the tax collection system has gone wrong before and people have ended up under paying. As I understand the computers have been upgraded now, but ALWAYS check that you believe the code you have applied is correct. If you under pay they WILL want it back!

New posts on this thread. Refresh page
Swipe left for the next trending thread