| 06/07 'Simplified regime' |
|
| Lifetime allowance* |
£1,500,000 |
| Lifetime allowance charge |
55% if excess is drawn as cash
25% if excess is drawn as income |
| Annual allowance |
£215,000 |
| Annual allowance charge |
40% of excess |
| Max. relievable personal contribution |
100% of relevant UK earnings or
£3,600
if greater |
| Max. tax-free cash* |
|
*
Subject to transitional protection for excess amount |
05-06 max. contributions as % of net relevant earnings
(PP cap £105,600)
| Age on 6 April |
35 or less |
36-45 |
46-50 |
51-55 |
56-60 |
61-74 |
| Personal pension (PP) |
17.5% |
20.0% |
25.0% |
30.0% |
35.0% |
40.0% |
| Retirement annuity |
17.5% |
17.5% |
17.5% |
20.0% |
22.5% |
27.5% |
|
