Don’t you think you could give us a bit more information. Such as rental income after tax, income, state pension entitlement etc.Hi My husband is turning 60 and we don't have much in the way of pensions. Just wondering is it possible to start a pension
at this age as we both have rental property income which we pay tax on and also I am still working part time. TIA.
We get about 25,000 in rental income, I get about 12k a year in part time job. We have a mortgage on one of the rental properties. We are jointly assessed and pay tax then on all income at the end of the year. We pay between 4 to 6k in tax depending on the year and how much I earn as I work more some weeks than others. So I wouldn't qualify then for pension tax relief based on that? We should qualify for state pension, neither of us have the maximum amount of reckonable credits towards state pension but my husband not far off and I have about 70 percent so will get reduced payment. I also have two tiny private pensions which are worth about 200 euros a month when I'm 65. I worked in England a hundred years ago!!Don’t you think you could give us a bit more information. Such as rental income after tax, income, state pension entitlement etc.
I disagree with the "better late than never" bit. It is unlikely that you are going to accumulate much in the next few years, especially if working part time (assuming you don't have a highly skilled job that pays very well even for part time). So you'll get 20% tax relief on the contributions you can make from your earned income. You get 25% tax free lump sum and the remainder can be used to purchase an annuity or invest it in an AMRF where you can only access 4% each year until you either receive the State pension or if you don't get tier category 1 or 2 of that pension, you reach age 75. It will be of little benefit to you at this stage unless you have the ability to put in large amounts of money.
Steven
www.bluewaterfp.i
Good point, except if the pension fund is very small they may qualify for full commutation under the “trivial pension” rules. That would still make it a tax effective strategy, albeit the amounts may be relatively small.I disagree with the "better late than never" bit. It is unlikely that you are going to accumulate much in the next few years, especially if working part time (assuming you don't have a highly skilled job that pays very well even for part time). So you'll get 20% tax relief on the contributions you can make from your earned income. You get 25% tax free lump sum and the remainder can be used to purchase an annuity or invest it in an AMRF where you can only access 4% each year until you either receive the State pension or if you don't get tier category 1 or 2 of that pension, you reach age 75. It will be of little benefit to you at this stage unless you have the ability to put in large amounts of money.
Steven
www.bluewaterfp.ie
Based on other posters on here your rental income if you are paying PRSI on it helps with qualifying for the State contributory pension. This is worth it's weigh in gold and you must check with the Pensions office Donegal 01-4715898 or 1890 690 690 for your records and advice. Tha's the Records Team. From them you can ask what can you do to increase your stamps as need be as there is a method for this that I do not know the details of. Try the social welfare Forum. Or check out Social Welfare .ie.We get about 25,000 in rental income, I get about 12k a year in part time job. We have a mortgage on one of the rental properties. We are jointly assessed and pay tax then on all income at the end of the year. We pay between 4 to 6k in tax depending on the year and how much I earn as I work more some weeks than others. So I wouldn't qualify then for pension tax relief based on that? We should qualify for state pension, neither of us have the maximum amount of reckonable credits towards state pension but my husband not far off and I have about 70 percent so will get reduced payment. I also have two tiny private pensions which are worth about 200 euros a month when I'm 65. I worked in England a hundred years ago!!
Here's the thread -Might, just might be an idea to look into the UK pension. I know I read some mad story about how you could buy back a lot of years, think it was probably on here.