Spouse’s Pension Fund Print
If you employ your spouse through your business, or company, it may be beneficial to set up an employee pension fund to provide him or her with a pension on retirement. This applies whether or not the spouse’s earnings are below the taxation and National Insurance limits. As an employer’s contribution, the premium payable would be offset against the employer’s profits for taxation purposes. For these purposes employers may choose to fund contributions into Stakeholder pensions, in particular where the spouse’s earnings are below the tax and National Insurance thresholds. The new pension freedoms may enable the spouse to take the benefits as a lump sum.