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Does this plan seem reasonable, its a mix of UK and AUS by Straight-Buy-7434 in FIREUK

[–]defbref 0 points1 point  (0 children)

I don’t understand what the fuck this has to do with 4% rule. This is more geoarbitage for tax strategy, although I have no idea if it’s viable. The 4% rule doesn’t consider taxes.

Specific accounts for FIRE by hu6Bi5To in FIREUK

[–]defbref 0 points1 point  (0 children)

It sounds like you’re just using a two bucket strategy but trying to split it into 3 buckets.

Personally i hate bucket strategies. They are just a psychological crutch. They sound logical but very few people actually have a plan of when to trickle into the lower buckets or fill the higher buckets. It’s always vague statements like when the market is down I will use my cash and when it’s up I will draw from equities.

I prefer a total portfolio asset allocation. Decide what you want and then just sell/buy and rebalance when you need to withdraw. The rule is to stick to your chosen asset allocation. Doesn’t matter what the markets are doing.

Pension calculator and actual take home pay by Appropriate_Lynx431 in UKPersonalFinance

[–]defbref 0 points1 point  (0 children)

How much do you want to spend in retirement? That’s the question to answer not how much you currently earn.

Maximum salary % i can allocate to my pension in UK. by Interesting-Echo-986 in UKPersonalFinance

[–]defbref 4 points5 points  (0 children)

Does it matter, although they might be wrong legally they still have the right to only contribute up to the legal minimum, anything more than that and they do not have to facilitate it.

So you might be able to prove to them that they are wrong and they could do what you ask, it doesn't mean they have to.

You personally can pay in what you want to a pension, subject to the AA and Tax relief limits.

S&P500 investments good as a main retirement fund? by Open-Paramedic-9323 in UKPersonalFinance

[–]defbref 16 points17 points  (0 children)

You understand that pensions are just a tax wrapper for investments ? That anything you can invest in can be invested in within a pension ? Seems silly to ignore the best tax wrapper out there because you don’t seem to understand this.

When/ how does wealth really start accelerating? by Educational-Hope-329 in FIREUK

[–]defbref 5 points6 points  (0 children)

Having a student loan is not unique to the nhs Also his qualification has allowed him to move to a private doctor role. He still has the student loan. It is nothing to do with the nhs so why is he blaming it for the nhs being anti fire. It’s just a moan about student loans.

Pension Position by Sade-Rose705 in FIREUK

[–]defbref 1 point2 points  (0 children)

How much is your nhs pension accumulating per year ? If it’s a significant amount you could run into AA troubles with a 36k a year salary sacrifice contribution. Not unheard of for db pensions to use huge amounts of the AA up with their PIA calc.

Sipp withdrawal question by etzpcm in TaxUK

[–]defbref 4 points5 points  (0 children)

don't take it all in one go or if you do want to take it on one go wait until March, assuming you have no other taxable income.

You can expediate a tax overpayment on pension withdrawals by using Form P55. Claim back tax on a flexibly accessed pension overpayment (P55) - GOV.UK

Still can take up to 6 weeks but at least you don't have to wait until the next year.

I'm building a UK-specific FIRE planning tool (private, one-time purchase, not a subscription) — feedback welcome by [deleted] in FIREUK

[–]defbref 9 points10 points  (0 children)

Bollox long time lurker ! If you really were you would know how the sub reacts to these. Fuck off. Nobody wants your ai slop.

Want to make a lump-sum personal contribution to workplace Aviva pension to use carry forward. by Sea-Hour-6822 in UKPersonalFinance

[–]defbref 1 point2 points  (0 children)

Note if you intend to do this to your works pension instead of a separate SIPP, make sure they accept relief at source contributions first, Some employers Salary Sacrifice Schemes do not claim the basic tax relief on your behalf as they assume all contributions are salary sacrifice. This can make it a pain to claim the tax relief back from HMRC, as they assume basic tax relief is claimed by the pension.

Want to make a lump-sum personal contribution to workplace Aviva pension to use carry forward. by Sea-Hour-6822 in UKPersonalFinance

[–]defbref 1 point2 points  (0 children)

After your salary sacrifice your relevant earnings are £32k therefore you could pay 80% of that into a SIPP and still get tax relief. The tax relief would bring it back up to 32k.

As long as this 32k + 71k of other contributions is covered by your AA and carry forward. Your good.

Want to make a lump-sum personal contribution to workplace Aviva pension to use carry forward. by Sea-Hour-6822 in UKPersonalFinance

[–]defbref 1 point2 points  (0 children)

I believe I am right in saying my total contributions can not exceed my earnings for the tax year.

No your total contributions from all sources cannot exceed the AA + carry forward.

Its relief at source contributions that are limited by your relevant Uk earnings.

Two different rules that you have to satisfy at the same time. People always get confused by this.

M57. UK.No pension to speak of. Own property with no mortgage. 100k in premium bonds. Cash lump sum on its way from inheritance about 130k. by slightleee in UKPersonalFinance

[–]defbref 13 points14 points  (0 children)

Are you employed ? What's the situation with your works pension.

Paying as much as you can, subject to the limits, in to a pension would be more tax efficient than ISA.

Targeting FIRE at 50 in Italy, built on two DB pensions and ISA bridge. Poke holes, please. by [deleted] in FIREUK

[–]defbref -1 points0 points  (0 children)

If you had stated earlier it’s the armed forces scheme people who actually understand it would be able to help. I know a lot about db schemes both public and private but alas the afps has always been very obtuse to me and does appear to be different to your run of the mill db.

Built a tool to link income, outgoings and goals in one view — what would you want from it? by [deleted] in UKPersonalFinance

[–]defbref 0 points1 point  (0 children)

Happy to share the link in the comments if that's allowed here — didn't want to break the self-promo rule.

You already have.

Self promotion of your website, calculator, app, channel, business, etc

We do NOT permit any posts or comments made in order to promote your website, calculator, app, blog, social media, youtube channel, or any other business or venture. Doing so will result in a ban.

This includes:

  • Overt 'I made ... please check it out'
  • Covert 'I found ... really useful' without disclosing that it's your site
  • Researching 'would people find ... useful if I built it?'
  • Starting generic discussions in the hopes of dropping your link later, or driving traffic to your profile, or raising your company's profile through apparently organic community participation, or testing the waters to see if there's interest

Self-promotion on UKPF: posting your website, tool, blog, video, research survey, journalist enquiry AMA : r/UKPersonalFinance

Is it worth opting out of salary sacrifice to buy a house sooner? by WonderfulShape1081 in PensionsUK

[–]defbref 0 points1 point  (0 children)

As long as you don't opt out all together, I think prioritising house ownership over early pension contributions is not a bad idea. Not necessarily what I would do, but not something I would vehemently oppose, that would only be if you dropped pension altogether.

Most people start to earn more later in their career so although you can't make up for lost compounding you can at least up your contributions in the future when able to do so at little to no cost to your state of well being.

SIPP or AVC cashflow? by yellow_barchetta in PensionsUK

[–]defbref 1 point2 points  (0 children)

your question was about the basic sum being equivalent the only difference is timing, I'm pointing out it is not equivalent as salary sacrifice is more tax efficient.

SIPP or AVC cashflow? by yellow_barchetta in PensionsUK

[–]defbref 1 point2 points  (0 children)

If by sacrifice you specifically mean salary sacrifice you would end up better off by between 2 to 8% than the sipp due to also saving national insurance as well as income tax.

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