Budget 2021: Pension lifetime allowance to be frozen, Rishi Sunak announces

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Pension lifetime allowance WILL be frozen Budget2021

The annual allowance, which is currently set at £40,000 per year has not changed.

The freeze is likely to penalise those savers who sacrifice more of their salary to retirement savings or whose pension investments perform particularly well. The Lifetime allowance is currently £1,073,100. This is the maximum you can save in all your pensions combined without paying a tax charge. The rate of tax you pay on pension savings above your lifetime allowance depends on how the money is paid to you - the rate is:25% if you get it any other way, for example pension payments or cash withdrawals

It also makes pensions saving less attractive as a benefit to higher earners, which often includes the management of employers.

 

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I will freeze his ass Our elders are will be starving useless

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