Most favourable Budget in years for doctors
THE BUDGET.
What a staggering few weeks with two NHS pension consultations and now the most favourable Budget for doctors in years, writes Paul Gordon
The changes will make a difference. The increase in the annual allowance to £60,000 will ease tax charges for many, although the retention of the tapered annual allowance will continue to impact those with total earnings from all sources exceeding £200,000.
We envisage a review of the incorporation options for private practice, as remaining below £200,000 of income would potentially retain the full increased allowance.
The abolishing of the lifetime allowance is an amazing outcome that was certainly not predicted and will lead to senior clinicians savings thousands throughout their retirement.
At first glance, it appears to be beneficial for those yet to draw benefits.
But when combined with the recent NHS pension consultation feedback, we could actually see a number of retirees able to contribute to the NHS pension to increase their pension provision for when they fully retire.
It has never been more important to ensure all pension records and annual allowance growth figures are correct, particularly as October is likely to see the ability to draw the 1995 Section benefits without the requirement of retirement under the plans to make the NHS Pension more flexible.
Paul Gordon is head of medical specialist wealth planning at atamos
