When you are panicking about your pension, here is something else you need to worry about before 5th April - making sure you get the maximum tax-relief in advance of the basic rate of income tax dropping to 20%.
If you’re planning to drop in a lump sum or just fill out your Stakeholder with its annual
£3,600 contribution in one hit, do bear in mind that 2p in the pound more will be coming
from your pocket after 6th April.
So on the stakeholder example whereas you would pay in £2,808 and get £792 added by HMRC, after 6th April you will pay £72 more.
As noted previously this tax change wasn’t mentioned in this month’s budget - because it
was scheduled last year - and should rake in around £2.6 billion for the treasury.
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