Know your limits
You can pay as much as you like into your SIPP Account each tax year but you can only get tax relief on payments up to the greater of:
- all of your relevant UK earnings in the tax year (subject to your annual allowance, explained below); or
- up to £3,600 (before tax) regardless of any earnings. This means you pay £2,880 and we reclaim basic rate tax relief from HMRC which tops up your payment to £3,600.
It can take up to 8 weeks for us to get your tax relief from HMRC. And if you are a higher rate tax payer you’ll have to claim any higher rate tax relief through your self-assessment tax return.
These rules apply to other personal pension schemes and not just SIPPs.Tax relief find out more
Please remember the value of your investments and any income from them can go down as well as up. The value of your fund may be less than you paid in.
Before you choose a SIPP, make sure you understand its aims and risks. Alliance Trust Savings does not give advice. A SIPP requires active management and investment expertise. You should make sure you review your investments regularly.You will not normally be able to access your pension to provide you with benefits until you are at least age 55.
Laws and tax rules may change in the future without notice. The information here is our understanding in April 2018. This information takes no account of your personal circumstances which may have an impact on tax treatment.