Budget 2016: Tax relief extended for employer-funded pension advice
- 1 Min Read
Employers wishing to make pension advice available to their workforce will be able to claim relief on the first £500 spent per employee.
Employers wishing to make pension advice available to their workforce will be able to claim tax relief on the first £500 spent per employee.
The increase from £150 was recommended as part of the Financial Advice Market Review released earlier this week.
It means from April 2017 an additional £350 for employer-arranged pension advice will be tax and National Insurance Contribution exempt.
The government will also consult on proposals to allow savers to withdraw £500 tax free form their defined contribution pension pot before the age of 55 to redeem for regulated financial advice.
The employer relief is expected to cost around £10m per year for the first two years it operates.