Net Relevant Earnings are used to determine the maximum contributions to a Retirement Annuity, Personal Pension or Stakeholder Pension. Net Relevant Earnings are your relevant earnings less - allowances deductible for tax in relation to business purposes e.g. some capital allowances; stock relief (only for tax years prior to 1984/85) losses from business Please note that mortgage interest, personal tax relief and other allowances are not deducted. The calculation of net relevant earnings for any individual case should be referred to a suitably qualified person, such as an accountant or the local tax inspector.
These are the earnings of self-employed people or earnings of people who are not in an employer's pension scheme. Net relevant earnings are used to work out the highest amount which can be invested in a pension scheme and qualify for tax relief.
Your taxable earnings from your selfemployment, or from an employment where you are not a member of your employer's pension scheme. You may make contributions to a retirement annuity contract or personal pension plan, up to a percentage of your net relevant earnings. The percentage limits are based on your age, and differ between retirement annuity contracts and personal pension plans.
A definition of 'pensionable income' by which Personal Pension Plan contributions are determined for the self employed. Relevant earnings less business expenses (includes stock relief deductions, losses or capital allowances). NRE for employed PPP holders is effectively gross PAYE pay.
Net Relevant Earnings (or NRE) are the total taxable earnings from all sources, including self employed income, but excluding any income from a job which has a company pension scheme. NRE is used when calculating the maximum that can be paid into a personal pension scheme. These are limited to a certain percentage of your net relevant earnings.
A definition of 'pensionable income' used in determining the maximum contributions to a retirement annuity or personal pension scheme that qualify for tax relief.
The earnings which you use to work out how much contribution you can pay to a personal pension or retirement annuity. You get this figure by taking losses and certain business charges from your income if you are self-employed, and adding taxable benefits in kind if you are employed.
Earnings on which personal pension contributions are based. For the employed, this is usually gross remuneration (including bonuses and other taxable benefits) less any allowable business expenses (e.g. professional membership subscriptions paid for by the employer). For the self-employed they are broadly equivalent to taxable profits.
Currently your net relevant earnings are used to calculate the maximum pension contributions you can make. This is your total earnings including benefits in kind. Examples of benefits in kind include a company car, mortgages and loans at preferential rates. For self-employed people net relevant earnings are taxable earnings less allowable deductions.
If you are employed, your net relevant earnings are your gross remuneration including bonuses and benefits in kind, minus allowable business expenses if you have any such as professional subscriptions. If you are self employed, your net relevant earnings are basically your gross earnings less any deductions which are made in calculating your business profits and gains.
A definition of 'pensionable income' for the self employed by which Personal Pension Plan contributions are determined. Relevant earnings less business expenses (includes stock relief deductions, losses or capital allowances). NRE for employed PPP holders is effectively gross PAYE pay.
These are your taxable earnings from employment or self employed business. The level of earnings may well govern the amount of pension contributions that you can make, based also upon your age.
the total earnings for an individual (including salary, bonuses and value of many benefits in kind for employees and trading profits of the self-employed) for the tax year. This figure is used to calculate the amount of pension contributions that the individual can make.
These are earnings of self-employed people or earnings of employees who are not in an employer's pension scheme. Net relevant earnings are used to work out the highest amount which can be paid into a pension scheme where contributions get tax relief.
Income which can be used to assess the maximum contribution that can be made to a Personal Pension. Includes income which is subject to UK tax under the following headings: Employed Income, (Tax Schedule E), including profit-related pay and taxable benefits. (Not including proceeds from the buying or selling of shares, the right to buy shares, or 'golden handshakes'). Income from property which forms part of the income of an office or employment. Self-Employed Income, (Tax Schedule D), after deduction of expenses purely relating to that business. Income from Patent Rights which can be treated as Earned Income.