High earners are being urged to maximise pension contributions before the top rate of income tax is cut next April – potentially netting up to £150,000 in tax relief. The 330,000 people who earn more than £150,000 are also examining ways to delay taking income such as salary, bonuses and dividends until after April 6, 2013.
The income tax cut was introduced in the recent budget in an attempt to make Britain more attractive to businesses – a fall from 50% to 45%. A recent analysis of the 50% tax by HMRC found it raised only a third of its forecast, while it’s estimated high earners shifted up to £18 Billion into a different tax year to avoid paying it. HMRC now estimates that some £6.25 Billion will be shifted from 2012-13 to 2013-14. High earners will save an average of £1,136 by deferring their payment.
John Ball at Tower Watson said “There may never be a better time to put money into a pension. They may prefer to contribute out of income tax that would be taxed at 50% rather than 45%. For a £20,000 contribution this could cut tax liabilities by £1,000”
Pensions based products are certainly at the forefront of people’s minds and with the bonus of additional returns for moving quickly who wouldn’t?
So who are these individuals and how can you target them with your pension’s products?
Revive Management’s high net worth data encompasses over 2.2million UK affluent individuals and offers a varied, flexible and responsive marketing file. In addition to our usual transactional data sources, our high net worth data has been built using intelligence aggregated from the shares register and leading credit reference agencies. All our marketing lists are fully opted in to receive third part communications via Mailing Lists, Email Lists, Telephone Lists and Mobile marketing. In addition to our HNW data we can also provide dedicated pensions leads where consumers are actively looking for new pension’s products, these consumers have responded positively to a recent financial survey.
For more information on any of our marketing data solutions please call a member of our team on 0844 693 0244 or email email@example.com