Calculate Your Compensation
Tax Efficiency Recommendations
Pension Contributions
Increasing your pension contributions can reduce your income tax. The annual allowance is £60,000 or 100% of your earnings (whichever is lower).
ISA Allowance
Consider maximizing your ISA allowance of £20,000 per tax year for tax-free investment growth.
Capital Gains Tax
Make use of your annual Capital Gains Tax allowance of £3,000 for tax-free investment profits.
Example Investment:
Initial Value:£30,000
Growth (10%):£3,000
CGT Allowance:£3,000
Tax Saved:up to £600
CGT rates: 10% (basic) or 20% (higher) for stocks and shares. Consider realizing gains annually.
Premium Bonds
Consider Premium Bonds as a tax-free savings option with the chance to win tax-free prizes every month.