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Pension Input Amount calculation for Defined Benefit Pension

Practical Issues
webbm00
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Pension Input Amount calculation for Defined Benefit Pension

#655680

Postby webbm00 » March 24th, 2024, 8:04 pm

Can someone confirm that the calculation below is correct for my pension input amount. This is the start of trying to understand how much unused allowance I have to put a lump sum into my SIPP this tax year

2022/23 earnings £70,000
2022/23 Def Benefit Pension £24,500 =(21/60)*£70,000
Opening Value £404,152 =£24,500*16*1.031

2023/24 earnings £75,000
2023/24 Def Benefit Pension £27,500 =(22/60)*£70,000
Closing Value £440,000 =£24,500*16

Pension Input Amount £35,848 =£440,000-£404,152

kempiejon
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Re: Pension Input Amount calculation for Defined Benefit Pension

#655690

Postby kempiejon » March 24th, 2024, 9:14 pm

I have used this tool previously.
https://www.mandg.com/pru/tools-calcula ... pruadviser
Not sure if it agrees with your figures, have a try.
By this tax year I guess you mean for the couple of weeks so you'd better get a wiggle on. Did you add a lump sum last year? If not you've some slack for this year.

webbm00
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Re: Pension Input Amount calculation for Defined Benefit Pension

#655704

Postby webbm00 » March 24th, 2024, 11:04 pm

kempiejon wrote:I have used this tool previously.
https://www.mandg.com/pru/tools-calcula ... pruadviser
Not sure if it agrees with your figures, have a try.
By this tax year I guess you mean for the couple of weeks so you'd better get a wiggle on. Did you add a lump sum last year? If not you've some slack for this year.


The tool agrees once I used 10.1% CPI

No lump sums last year but I was thinking I needed to use my unused allowance from the last three years to cover a lump sum payment but with CPI at 10.1% I've got plenty of scope

and yes I've left it a bit late to sort out

kempiejon
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Re: Pension Input Amount calculation for Defined Benefit Pension

#655706

Postby kempiejon » March 24th, 2024, 11:14 pm

webbm00 wrote:No lump sums last year but I was thinking I needed to use my unused allowance from the last three years to cover a lump sum payment but with CPI at 10.1% I've got plenty of scope


So I think you can add up to £60k net this year if you have it.


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