# What is the pension Annual Allowance?

> Quick answer · Last updated 6 April 2026

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## In short

£60,000 a year. Above that, contributions can trigger an Annual Allowance charge. High earners may have a tapered allowance as low as £10,000.

The pension Annual Allowance is the maximum that can be paid into your pensions (employer contributions included) in a year before a tax charge applies. For most people it is £60,000 for 2026/27.

If your adjusted income is over £260,000 the allowance tapers down by £1 for every £2 above the threshold, to a floor of £10,000.

Unused allowance from the previous three tax years can usually be carried forward, provided you were a member of a registered pension scheme in those years.

## Related

- [Pension contribution calculator](https://moneyguide.org.uk/tools/pension-contribution-calculator/)
- [Pensions guide](https://moneyguide.org.uk/pensions/)

## Primary source

gov.uk/tax-on-your-private-pension/annual-allowance

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Independent UK money guidance from [Money Guide](https://moneyguide.org.uk). Information only — not regulated financial advice.