SIPP (Self-Invested Personal Pension)
A personal pension where you choose the investments, with full pension tax relief.
A SIPP is a personal pension wrapper authorised by the FCA, with The Pensions Regulator overseeing the broader pensions market. Contributions get tax relief at your marginal rate: a basic-rate taxpayer paying in £80 has it grossed up to £100 by HMRC, and higher-rate taxpayers reclaim the rest via Self Assessment. The annual allowance is £60,000 (tapered for very high earners), and you can carry forward up to three unused years. From age 55 (rising to 57 in 2028) you can take 25% tax-free, with the rest taxed as income. Popular providers: Vanguard UK, AJ Bell, Hargreaves Lansdown, InvestEngine.
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