Contractors should start investing in a pension at the start of their contracting career.
- Contractors can invest up to £40,000 each year.
- No more annuities. Contractors can draw from their fund.
- 25% can be withdrawn tax free.
- Pension savings can be passed onto family.
- Funds can be kept in stocks or cash - just like an ISA.
- The amount of tax relief can be as much as 50%.
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