What is the maximum contrubition an individual can make? I understand that anything above the annual allowance is added to an individuals income and taxed at marginal rate.
However, what is the individuals relevant earnings exceeds the annual allowance and the pension cont is above relevant earnings
e.g:
Relevant earnings 80,000
Annual allowance 70,000
Pension cont 90,000
Is the annual allowance charge that is added to income 10,000 or 20,000?
Thanks
Ask the Tutor ACCA TX-UK
Pension Contributions
the annual charge is not added to income.
Have you read the relevant chapter in the manual - it explains everthing
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