Receiving an annuity an contributing to a pension

[ASB]

Stuffed if I can find out the tax relief rules so hoping somebody can point me to them.

I am likely in 2 years at 60 to be receiving an annuity from an old s226 policy (an annity is probably the bestmethod due to a high guarentee. I am likely best off taking this at 60 not 65 due to my personal life expectancy. Approx 4k at 60 and 6k at 65).

I also have 3 or 4 other pensions. At retirement i expect to consolidate these and go to drawdown.

In the meantime the largest of these in my employers defined contribution scheme to which i plan to carry on contributing.

My income is in tge form of a phi payment paid to the company and then paid to me as a salary (tax and ni of course).

Based on maximising return to me i plan to contribute 1300/year and the comany 2600/year to the dc pension.

Is this still eligible for tax rates (i am trying to ensure i do not fall foul of the recyclinng provisions).

Also what happens with drawdown (should i decide to) whilst i am still receiving salary.

[MB2]

You can definitely have your company make an executive contribution (up to 40k) as we had a director do just this whilst drawing a pension. If you are putting in your own funds it may be more complicated, due to recycling rules as you say, but you will save corp tax on the 40k and not have to pay from taxed money.

A pensions adviser should be able to help on the rest, but as I said, we have a director doing just this and were told he could continue to do so until was 75.At which point the company is no longer allowed to contribute to a pension scheme for him (not sure if the stop date is his birthday or tax year I think is April in the tax year that he is 75).

[SeanT]

You should definitely take advice...

[ASB]

It appears to be ok. The benefit being received will be an annuity which doeant trigger the contribution limit.

In any even contributions will be just under the limit of 4k per year anyway for the MPAA

The situation will become more complexe if i go into drawdown whilst still contributing.