If you think there’s a gap between the pension you need (or would like) when you retire at age 65 and what you’ve built up so far, then you can make Additional Voluntary Contributions (AVCs).

You may wish to consider making AVCs because they are:

  • Flexible - You can make regular or one-off payments.
  • Tax efficient - Pension contributions receive tax-relief at the highest marginal rate, as long as your total contributions and the annual increase in pension built up during the year don't exceed the £40,000 for the 2018/19 tax year.
  • Invested in the way you choose.
  • An alternative way to take a cash lump sum at retirement - Currently at retirement you can take part of your pension benefits as a tax-free cash lump sum. If you use your AVCs towards your lump sum the reduction in your pension will be less.

If you are interested in paying AVCs please contact pensions@bayer.co.uk