Martin Lewis urges pensioners to use £667 legal loophole to 'avoid tax'

Oct. 6, 2024 - Yorkshire Live

Martin Lewis has revealed a lesser-known tip that could help you evade tax on your state pension. The founder of Money Saving Expert suggests that anyone receiving the state pension, whether it's the New State Pension or the Basic State Pension, can increase their pension pot if they live long enough - by postponing their pension until later.

For instance, if you're earning over £51,270, you'd forfeit 40 percent of your state pension income to tax, reports the Express. If you defer your state pension - ie.

Naturally, you'd forfeit your pension income in the year you deferred it, but that additional £667 is paid every year until you pass away...