HMRC Pension Cap 2026£60,000 Standard Cap£10,000 Taper Minimum
Pension Annual Allowance & Tapered Calculator
Calculate your Pension Annual Allowance (£60,000 cap) and evaluate Tapered Allowance reductions for high-earning professionals and NHS consultants.
Pension Allowance Taper Estimator
Compute annual tax-free contribution cap based on threshold and adjusted income
£
Net income before employer pension (Test: £200,000)£
Net income + employer pension (Test: £260,000)Pension Allowance Result:
Standard Allowance
£60,000
Base CapTapered Allowance Cap
£50000
Net Tax-Free CapAllowance Reduction
£10000
£1 per £2 TaperTapered Pension Allowance Scale (2025/2026)
Reductions apply when both Threshold Income exceeds £200,000 and Adjusted Income exceeds £260,000.
| Adjusted Income Tier | Allowance Reduction | Net Annual Allowance |
|---|---|---|
| £260,000 or under | £0 Reduction | £60,000 Full Cap |
| £280,000 | £10,000 Reduction | £50,000 |
| £320,000 | £30,000 Reduction | £30,000 |
| £360,000 or over | £50,000 Max Reduction | £10,000 Minimum Cap |
Carry Forward 3-Year Rule
3-Year Unused Allowance
You can bring forward unused pension allowances from the 3 previous tax years to make higher lump-sum contributions.
Current Year Used First
You must fully utilize your current year's annual allowance before using carried-forward allowances from earlier years.
Frequently Asked Questions (FAQs)
The standard UK Pension Annual Allowance is £60,000 per tax year. This is the maximum tax-relieved pension contribution you can make across all your pension pots in a single year.
Tapered Annual Allowance applies if your Threshold Income is over £200,000 AND your Adjusted Income is over £260,000. Your £60,000 allowance is reduced by £1 for every £2 over £260,000.
The maximum reduction is £50,000, leaving a minimum tapered annual allowance of £10,000 for individuals with an adjusted income of £360,000 or more.
Carry Forward allows you to bring forward unused annual allowances from the previous 3 tax years, provided you were a member of a registered UK pension scheme during those years.
Threshold Income is net income excluding employer pension contributions. Adjusted Income includes total net income plus all employer pension contributions and salary sacrifice setups.