Once your TD SIPP is set up you can pay single (one-off) contributions or regular contributions at any time subject to a minimum of £400 (net) for single contributions and £40 (net) for regular contributions.
You can receive tax relief on your personal contributions up to 100% of your earnings. For example, if your annual salary is £30,000 you can contribute £24,000 (net) into your TD SIPP. We will claim tax relief of £6,000 and this will be credited to your SIPP on receipt.
If you have no UK earnings, or are earning less than £3,600 a year you can still pay in contributions up to £2,880 (net) and we will claim tax relief of £720.
There is a limit on the contributions you can pay and receive tax relief. The annual allowance is currently £50,000 although this will reduce to £40,000 for the tax year 2014/15.
How much you should contribute to your TD SIPP will depend on your circumstances and aspirations for your retirement.
Simple, Fast and Easy Contributions
With a TD SIPP you can contribute easily to your pension fund:
- Your employer can contribute by direct debit
- You can sell shares and buy them back into your TD SIPP (this is known as a Bed and SIPP)
- You can set up a regular direct debit to pay into your TD SIPP from your bank account
- You can easily make additional contributions online from your debit card
- You can make a direct contribution from one of your other TD Direct Investing accounts (excluding Trading ISA)
- You can invest in selected investment types on a monthly basis automatically within your TD SIPP with our Regular Investing option.
The TD SIPP is an execution only SIPP.
TD Direct Investing, AJ Bell Management Limited and Sippdeal Trustees Limited is not authorised to provide any advice on your SIPP. We understand that you may wish to seek advice at important key events throughout the lifecycle of your TD SIPP.
If you need advice you should contact a suitably qualified financial adviser. You can ask TD Direct Investing to make payment for this advice on your behalf from within your TD SIPP. Please download and complete our Financial Adviser Charging Form to authorise TD Direct Investing to make a payment to your financial adviser.
Working Mum, Forty Something
Alison is a full time solicitor who has worked in a number of firms over the years and accumulated a number of pensions. A TD SIPP was appealing to her as and after consulting with her financial adviser she decided to transfer in her various pensions from previous employers and manage them together in one place. She doesn't have the time to keep up with several different pension providers and seeing her portfolio working for her gives her the confidence that she will have enough money to retire comfortably.
The other incentive for her is that with a relatively high and secure income she can contribute regularly and take advantage of the tax benefits. As a higher rate tax-payer earning £50,000 per year she claims higher rate tax relief on her contributions, which means that for every £800 she contributes to her SIPP she can claim an additional £200 tax relief through her self assessment. The total amount of her investment is £1,000 at an effective cost of £600.
This case study is for illustrative purposes only and isn't based on a real life example.
What you need to know before you open an account
Please make sure that you have read and understood all of the relevant documentation below.
Further details are also available in the Terms of Service which you should refer to before applying for an account
All investments carry a varying degree of risk. It's important that you understand the nature and risks of the different investments available through TD Direct Investing. You may not get back the money you invest and you should not view the past performance of investments as a guide to their future performance. Read more about the risks of investing.
Your money and investments
Before applying for an account it is important you understand how your money and investments will be held and the investor protection schemes that apply. We will hold your money in accordance with the FSA's client money rules and we may pool your investment with those of other customers. Read more about how we will hold your money and investments.
Conflicts of interest
We have a conflicts of interest policy that identifies circumstances that constitute, or may give rise to, conflicts of interest which pose material risk of damage to one or more of our customers. Read more about our conflicts of interest policy.
Summary of charges
Trading commissions start from £5.95 depending on how often you trade. Our standard online rate is £12.50 and it will cost more for trades on non-UK markets.
If you hold funds a platform fee will apply. If you move your stock transfer out charges will apply. See our Rate Card for full details.
Key Features Illustration
When applying online you will be asked to produce a Key Features Illustration, which gives you important information to help you decide if the TD SIPP is right for you. You will be taken to AJ Bell's website to do this. Before applying online you can take a look at AJ Bell's Illustration website and read the Key Features Illustration fact sheet and Key Features Document.
Open a TD SIPP
Lines are open Monday to Friday 7.30am to 9pm and Saturdays 9am to 3pm
Return the form to us at Customer Accounts Dept., TD Direct Investing, Exchange Court, Duncombe Street, Leeds LS1 4AX