Understanding self-employed pension tax relief

I occasionally have contact from freelance members who aren’t happy that they have been enrolled into a pension scheme as a result of the statutory auto-enrolment. My normal response is – firstly – to remind members that they are turning down more money than they may realise. As this very useful guidance from Penfold says….

“For most people, this works out as 25% on top of whatever you pay in. Contribute £100 into your pension, the government will automatically add £25 themselves via tax relief. If you’re a higher earner, you may be able to claim even more back.”

The whole guide on Penfold’s site is worth reading though.

This entry was posted in Employment Law and Rights, Freelance working, Pensions and tagged , . Bookmark the permalink.

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