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Where Taxpayers and Advisers Meet

Tax on Bonus

helinlouise
Posts:19
Joined:Wed Aug 06, 2008 3:17 pm
Tax on Bonus

Postby helinlouise » Sun Feb 07, 2016 10:06 pm

Hi,

By the time it comes to April I will have earned £101,500 in the tax year. My bonus is due and they are paying out at £17,160 so I assume due to the marginal rate of tax being 60% I will only earn 40% of my bonus, minus any NI at 2% so will take home 38% of my bonus being £6,521.

If what I say above is correct about my take home bonus, would it be beneficial (or would I be able) to put some away in my pension rather than pay it in tax at 60% and still be able to take home the £6.521?

And if so, how do I calculate it?

Thanks for any advice.

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