With tax year end just around the corner, it’s time to check you are making the most of your tax reliefs and allowances to save for a brighter future. You may want to consider:

Approaching retirement: boost pension saving now before triggering the Money Purchase Annual Allowance

Anyone looking to take advantage of income flexibility for the first time may want to consider boosting their pension pot before April, potentially sweeping up the full £40,000 Annual Allowance from this year, plus any unused allowance carried forward from the last three years.

Triggering the Money Purchase Annual Allowance (MPAA) will mean the opportunity to continue funding into Defined Contribution pensions will be restricted to just £4,000 a year – with no carry forward.

So, it might be worth considering other ways of meeting income needs that don’t restrict future pension saving. Could other non-pension savings be used? If you need money from your pension you can avoid the MPAA and retain the full £40,000 allowance if you only take your tax free cash.

Key information

  • ‘Income’ required.
  • Non-pensions savings that could support ‘income’ required.

Please be aware that the value of investments and the income derived from them can fall as well as rise and you may not get back what you invest. The Financial Conduct Authority does not regulate tax advice.


Effective tax planning is a year round job. It’s only at the end of the tax year that you have all the pieces to complete the planning jigsaw, but there are steps you can take now to get ahead of the game and give yourself time to put plans in place. And with less than 7 weeks until 6 April, there’s no time like the present to get started.