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  • RE: Tax on state pension and work pensions in the first year of retirement

    I have been working 15 hours part time since November 2023 but turn 55 at the end of May 2024 and so have decided to take my Personal Private Pension from my previous employer of 34 years that I left in 2019. In March 2024 my tax code was changed from 1257L to 694L M1 and no tax but £0.96 NI was taken and this month the tax code has changed to 659L and I have been taxed £56.40 and NI of £16.95. On checking the Government Gateway site to establish how my Personal Allowance is calculated, it states that a State Pension is allocated to my account as well as Untaxed Interest on my Savings/Investments. Is 'State Pension' a generic title that is used and covers personal pensions or has a mistake been made ? Surely, I shouldn't be being taxed until I start to receive my pension ? Also, I will be ending my employment at the end of May 2024 and so will my tax code change again automatically and as my full years income of employment and pension should fall below £12570, will I get a rebate ?