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Pension contributions

 
(@totallyclueless)
Active Member Registered

I pay into an employers pension scheme which I assume will automatically be taken into consideration by CMS when calculating my payments to my ex. I also pay into a private pension, would this also reduce my payments and if so, how do I inform CMS about that?

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Topic starter Posted : 13/03/2023 12:49 pm
 actd
(@actd)
Illustrious Member

Yes, the employees pension will be taken into account by CMS - as a matter of interest, is it done by a deduction of earnings, or have you done it by salary sacrifice? If it's a simple deduction from earnings, then ask your employer about the salary sacrifice, in most instances, there are advantages to both yourself and your employer in doing so (I believe it can affect some benefits if you are on any).

I'm not familiar with the CMS portal, but I would think that would be the way to report your private pension to them, but hopefully others on here can confirm or correct that.

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Posted : 13/03/2023 9:57 pm
(@totallyclueless)
Active Member Registered

@actd Thanks for the reply, much appreciated.

The employers pension is via salary sacrifice, which as you say is beneficial to me and my employer.

The private pension contribution is from money that I have been paid after I have been taxed, etc., so I was hoping it could be removed from the taxable income figure that the CMS would use to do their calculation.

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Topic starter Posted : 14/03/2023 2:22 pm
 actd
(@actd)
Illustrious Member

Hi, yes, it is removed from the taxable income figure (assuming you aren't doing a ridiculous percentage of income). Certainly worth speaking to CMS to ask how they would like you to confirm the figure to them.

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Posted : 14/03/2023 4:16 pm
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