I will be getting the married state pension £144 plus a private pension of £153 ?

Question

Will I have to pay tax on any of this?

Answer 1

I take it you will soon be 65? In this tax year (before 5th April next)? You haven't given many facts but a couple of things spring to mind.

You can claim Age Allowance, £9030, in the tax year you reach 65, even if you haven't had that birthday yet. If your income for the year will be over £21800, you lose £1 age allowance for every £2 excess income, down to the minimum of £5435. Your code number will be restricted to collect tax on your State pension, as that can't be taxed at source. If you are still working, all your income, wages and pensions, for the period 6th April to 5th April counts towards your total income, including investment income.

If your wife is under 60, you will be getting a dependency allowance for her with State pension until she reaches her 60th birthday, and that counts towards your taxable income. Once she is 60, and gets her own income, you lose the dependency allowance, but are no longer liable to tax on her pension, which counts towards her taxable income.

Answer 2

The website below shows the tax allowance for pensioners. If your income from all sources is below £9,030 p.a. then you pay no tax.

Answer 3

I make your annual income to be about the same as mine, around 15500 annually. Depending on your age you pay tax on everything above £9050 at 20%. This scheming government has abolished the 10% tax rate, so you pay extra from May 2008.

Don't be tempted to work part time as I did a few years ago, I went through the £19000 limit, had my age allowance taken away, so effectively paid tax twice on some of my income.

Also you will not be entitled to benefits because of your private pension. People who didn't bother to save into pension schemes and spent their money on smoking, alcohol, gambling and possibly houses of ill repute or did not save, will now be  claiming benefits. It will make you think whether it was worth while being so thrifty during your working years while struggling to pay off a mortgage/rent.

Answer 4

No you will not. I was widowed and for twelve years they taxed me until a friend made me question it... and they never should have taxed me at all. It took four months for them to get it put right and they only gave me three years back of my money. Daylight robbery when they make the mistake.I could have been paying the rest of my life but the Tax people could have cared less. So if they do it to you, go and see them and stick with it, because they are wrong.

Answer 5

weekly or monthly?

Answer 6

Your state pension will depend on your national insurance contributions record, so impossible to say. You get your state pension regardless of your occupational pension.

Answer 7

How old are uyou and are you marriied? Without this info, other answers are only guesses.