Pension tax limits
The money you pay into your pension arrangements usually gets tax relief. However, there are limits on how much you can save towards your pension before tax will be charged on any excess.
Select from the options below to find out more.
Money Purchase Annual Allowance
Jun 6, 2024, 15:07 PM
Title :
Money Purchase Annual Allowance
The Money Purchase Annual Allowance (MPAA) is currently £10,000.
The Money Purchase Annual Allowance only comes into effect if you have already taken some of your defined contribution savings as cash or a short-term annuity from a flexi-access drawdown fund, cash from a pension pot (‘uncrystallised funds pension lump sums’) or if you have taken more than the limit from a capped drawdown fund.The MPAA is the total amount you can pay into any defined contribution pension arrangement (such as the Lifesight Master Trust) each tax year before tax will be charged.