During my working life, I have only ever had a single income stream, so tax has just been simple(ish) PAYE.However, that is about to change. I currently get an income from a defined benefit pension, then next year I will also get the state pension, then I will also start drawing-down income from my SIPP. I've already taken all the tax-free lump sums.How can PAYE handle this? Do I get a tax code fo

This is the second article in our mini-series covering portfolio construction. It is focused on how to manage and maintain a portfolio.Once a balanced portfolio has been constructed and is up and running, for some investors, there may be a temptation to tinker.It is therefore worth reiterating what we said at the outset, that investing is a marathon and not a sprint. What is most important is to m

My wife and I are both pensioners receiving state pensions. We are both self-employed earning between £5,000 and £10,000 a year each, plus we both receive income from renting a commercial property (total around £20,000 per year).My wife receives a pension from the NHS of around £7,500 a year.We both have personal SIPPs in drawdown (after taking out our 25% tax free), which we sometimes draw in

This feature marks two new beginnings. The first is a three-part-series exploring portfolio construction, management and how to adapt for major life milestones. It is also the start of a brand-new section in the magazine. We want to find out how readers approach their own investment portfolios and the methods they use to construct and manage them. You can read more about how to get involved at the

It's time to break out the birthday candles as Shares marks 25 years since its first issue hit the newsstands in September 1999.I'm just the latest custodian of this publication, having had the pleasure of editing Shares for a just under a year, and while there has been an enormous amount of change over the last quarter of a century both internally and in the broader financial markets, the one con

Equities were higher during midday trade on Friday, as mining stocks continued to climb, tracking the strength of gold amid a pull-back of the dollar.The FTSE 100 index climbed 19.03 points, 0.2%, at 8,260.00. The FTSE 250 was up 138.55 points, 0.7%, at 20,834.33, and the AIM All-Share rose 2.61 points, 0.4%, at 743.97.The Cboe UK 100 was up 0.3% at 826.32, the Cboe UK 250 rose 0.7% to 18,356.40,

I am a director of my own limited company. Currently I take a salary up to my personal allowance, and receive the rest of my remuneration as dividends.I have heard that through carry forward I can pay in an employer's pension contribution up to £180,000 gross. But that this may be limited by the company's anticipated profits in the tax year, if they are going to be less than £180,000.Could you c

I am 59 and have a deferred defined benefit pension. I currently work as a consultant and bill my clients through a limited company; the company pays my monthly salary and the company makes contributions to my personal SIPP.If I decided to start drawing my defined benefit pension and continue to work as a consultant as I am doing now, could both me and my limited company continue to make contribut

I retired in 2019 at the age of 65. I recently (i.e. this tax year) tried to withdraw cash from a private pension, but the provider told me that I might (or might not) need a transitional tax-free amount certificate (TTFAC). But they failed to explain what a TTFAC was or how it might apply in my case.I have two SIPPs. I don't have any lifetime protection.I have taken the full tax-free cash from my

I am planning on finishing work in a few months' time and want to take my tax-free cash from my pension pot. I understand the rest of my pot will remain invested. However, I have been reading up on this and how to manage the investment.A couple of sources have mentioned 'pound cost ravaging'. What is this and how can I guard against it?DanRachel Vahey, AJ Bell Head of Public Policy, says:Pension s

I am currently considering my retirement options and have a question regarding transferring my pension from a workplace scheme to a SIPP (self-invested personal pension).I'm wondering if it's possible to make such a transfer and what considerations or steps might be involved in the process.DiegoRachel Vahey, AJ Bell Head of Public Policy, says: Over the last 11 years, more than 11 million people h

If you already have a salary sacrifice pension from your employer, is there anything to gain by moving to a SIPP?AnonymousRachel Vahey, AJ Bell Head of Public Policy, says:Before answering it's probably worth quickly explaining what salary sacrifice is and how it works in relation to a pension.Salary sacrifice is simply where an employee and an employer agree to reduce the employee's salary and t

I have a SIPP worth just over £1.5 million. I have previously applied for fixed protection 2014 and understand that this means my tax-free cash allowance is higher than normal.I am aged 73 and as yet haven?t touched the funds. Furthermore, I am not proposing to take any income in near future, instead I am taking income from my ISAs. What is the downside of crystalising a chunk of the SIPP and may

I have a SIPP I haven?t yet touched. I would like to take money from that pension pot ? both my tax-free cash and another lump sum.However, I have been told that if I take this other lump sum, I will have to pay emergency tax on this amount. Why is this, and can I avoid it?FranRachel Vahey, AJ Bell Head of Public Policy, says:Pension savers have a great deal of flexibility to decide how to take mo

My wife and I are both retired with excellent private and state pensions which more than cover our lifestyle.I am 74 years old. I also have another SIPP pension of £350,000 which I have not drawn down. If I do nothing, will I lose the chance to draw 25% (£87,500) of the pension tax free?I know that if I die before I am 75 my family will be able to draw on the pension tax free. However, once I re

I work as a technical consultant in an air freshener company and earn £30,000 a year. I am single, aged 24 and live at home with my parents. I?m delighted the government has cut my national insurance contributions as it means I may have a bit more money in my pay packet this month. But before I go spend it, should I be saving it and if so what should I save it in? I have joined my employer?s pens

Dear readers,After six years answering your brilliant (and often challenging) questions, I have written my final Ask Tom. I will remain at AJ Bell as director of public policy but my fantastic colleague, head of policy Rachel Vahey, will now be the one responding in these pages.When I first suggested creating a weekly pensions ?agony uncle? column in 2016, I?d be lying if I said I wasn?t a little

Stocks closed mixed in London on Friday, ending the year with its annual return behind that of its global counterparts.The FTSE 100 index closed up 10.50 points, 0.1%, at 7,733.24. The FTSE 250 ended down 29.53 points, 0.2%, at 19,689.63 and the AIM All-Share closed down 0.34 of a point at 763.32.The FTSE 100 ended up 0.2% at 772.47, the FTSE 250 closed down 0.1% at 17,163.49, and the smaller comp

Despite having worked in finance since the mid-1980s, Geoff admits he didn't actually start thinking about investing for his future seriously until the mid-1990s.After returning to the UK following a secondment in Europe, he was surprised to receive a cheque from HMRC for the overpayment of income tax while he was abroad.'It was only £3,000, but I was 31 and at the time that was a decent chunk of

Premier Miton calls for new 'Great British ISA'New wrapper would have extra £5,000 annual allowanceAJ Bell argues six different ISA variations already cause confusionFund manager Premier Miton (PMI:AIM) is calling for a new 'Great British ISA' designed to invest solely in UK equities that it believes would help encourage private companies to list in the UK and stay and grow here in Britain.The as