For a few years, aged 18>25 ish, I paid into a private pension, before realising that as a standard rate tax payer, in my opinion it was better to put that money towards a larger mortgage and a better house.... I got my first orrible place in Bradford aged 21. ( jeez it was really really awful, but better than living at home in comparative luxury. I wanted independence!!)
I'm now 61 and decided a few years ago to give up full time work when I paid the mortgage off, live frugally, sponge off friends overseas, and work part time as and when. I have two small private pensions, and took ( and spent) the 25% tax free lump sum as soon as I could. I'm now taking annual drawdown and hope to have spent both pensions by the time I reach 66, which is when I expect to receive the State Pension.
In the current tax year I have only earned about £2k from small jobs I have done ( Kennel work, gardening, a few weeks in an office for a pal) so drew down £9k to maximise my personal single persons allowance without having to pay any tax.
The sum I received was £6300.54, tax deducted being £2699.46. After completing an online form, this has now been refunded/reclaimed, but why that strange amount?
I'm merely curious... currently in Moraira for a month staying in a small bungalow, paying rent of €350 each ( there are 2 of us sharing the place with friends nearby for 3 months) for 28 days, plus gas & electricity, so might stay another month now I've got more funds! And drink more wine & Mahou.
|
Pension drawdown new
Pension drawdown new
