Careful advance planning with an adviser is essential for individuals with larger pension funds, or for those planning to make significant pension contributions.
HMRC sets limits on the total annual savings into pension schemes whilst benefiting from tax relief (annual allowance and money purchase annual allowance), and also the total value of the benefits you can draw without incurring tax charges(lifetime allowance). The tax penalties for exceeding the allowances can be severe. These limits apply not only to SIPPs but to all pension plans.
Ask your adviser how one of our SIPPs can help you maximise the tax efficiency of your retirement plans.