Find out how much the government adds to your pension — and if you're a higher rate taxpayer, how to claim the extra relief you're owed through Self Assessment.
Your Pension Contribution
£
£
%
Your Pension Breakdown — 2025–26
Your contribution (what leaves your pay)—
Basic rate tax relief added (20%)—
Total pension contribution—
Total going into your pension pot
—
Extra relief to claim (40% → 20%)—
Higher rate taxpayer: Your pension provider claims 20% tax relief automatically. You must claim the remaining — yourself via Self Assessment or by calling HMRC.
Extra relief to claim (45% → 20%)—
Additional rate taxpayer: Claim the extra — via Self Assessment.
Annual allowance check: Your total pension contributions may exceed the £60,000 annual allowance. Contributions above this limit are subject to the Annual Allowance Charge. Speak to a pension adviser.
Annual allowance used—
Pension tax relief — frequently asked questions
How does pension tax relief work in the UK?
When you pay into a pension, the government adds tax relief equal to the income tax you would have paid on that money. For basic rate taxpayers, that's 20% — so a £800 contribution becomes £1,000 in your pension. Higher rate (40%) and additional rate (45%) taxpayers get even more relief but must claim the extra portion themselves through Self Assessment.
What's the difference between relief at source and net pay?
With relief at source (most workplace pensions and SIPPs), you pay contributions from your after-tax pay and the pension provider claims 20% from HMRC on your behalf. With net pay arrangements (common in public sector and some workplace schemes), contributions come out before tax is calculated, so you automatically get full relief at your marginal rate — no claiming required.
What is the annual allowance for 2025–26?
The annual allowance is £60,000 (or 100% of your earnings, whichever is lower). This covers all contributions — yours, your employer's, and tax relief combined. High earners (adjusted income over £260,000) face a tapered allowance that can reduce this to as little as £10,000. Unused allowances from the previous three years can be carried forward.
How do I claim higher rate pension tax relief?
If you're in a relief-at-source scheme and pay 40% or 45% tax, your provider only claims 20% automatically. You must claim the rest through Self Assessment. If you don't fill in a tax return, call HMRC and they can usually adjust your tax code instead. This is free money that millions of higher rate taxpayers leave unclaimed every year.
Can I contribute more than I earn?
The maximum you can contribute to a pension and receive tax relief on is 100% of your earnings (up to the £60,000 annual allowance). If you have no earnings, you can still contribute £3,600 gross (£2,880 net) per year and receive basic rate tax relief. Contributions above your earnings do not receive tax relief.