Pension Contributions

2024-25

2023-24

Lifetime allowance

Abolished

No charge

Maximum annual allowance*

£60,000

£60,000

Tax on excess

Marginal rate

Marginal rate

Normal minimum pension age for private pensions

55

Increasing to 57 from 6 April 2028

55

Increasing to 57 from 6 April 2028

Old State pension - per week**

2024-25

2023-24

Single person

 £169.50 £156.20

Addition for wife if non-contributor

£101.55

£93.60

New State Pension – per week

2024-25

2023-24

Single person

£221.20

£203.85

The annual allowance is tapered for taxpayers whose income exceeds £260,000 (2023-24: £260,000). The allowance will reduce by £1 for every £2 that an individual’s income exceeds £260,000 (2023-24: £260,000), down to a minimum of £10,000 (2023-24: £10,000).

**Retirees that reached the State Pension age before 6 April 2016, continue to receive the Old State Pension and not the New State Pension.

 

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