Jon Porter
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Pension contributions after unemployment
I have recently been made redundant and left the business last Friday, I am due a PILON payment & redundancy later in the month. I'd like to keeping paying in money into my pension but I understand there is an allowance of £2,800 when unemployed. I'd want to pay in more that that while I am unemployed. Question is if I paid in a lump sum now into my pension would that count towards the annual allowance of £60,000 or would I already be using up the £2,800 allowance as soon as I left the business? If so as I have and will have paid tax up until the end of my notice does that increase the amount of my pension allowance? Any help would be much appreciated, thanks.