MPAA reduced to £4,000 per year

You need to be careful if you have retired or started to take any pension scheme benefits.

In May we published an update about proposed changes to the Money Purchase Annual Allowance (MPAA). This affects people who have begun to access their retirement savings, as it limits how much can be contributed to a pension scheme (by them or their employer) without attracting a tax charge. With effect from 6 April 2017, the Government reduced the MPAA from £10,000 to £4,000 per year. You can find out more on the Pensions Advisory Service website.