AAA Display options

The new force combining Age Concern logo & Help the Aged logo

Income Tax

older man carrying boxes at work

If your income is over a certain amount, you will have to pay Income Tax on it. Not all income is taxable, and there are allowances and reliefs you may be able to claim that can reduce your bill.

Taxable income

Not all income counts towards Income Tax. You may have to pay tax on:

  • earnings from employment or self-employment
  • pensions, including State Pension, and annuities (except war pensions)
  • interest from savings accounts
  • dividends from shares
  • income from lettings
  • some benefits like Incapacity Benefit and Employment and Support Allowance (they can be taxable or non-taxable)
  • income from a trust.

You do not have to pay tax on:

  • Pension Credit
  • Disability Living Allowance/Attendance Allowance
  • Winter Fuel Payment
  • war pensions
  • lottery or Premium Bond wins
  • industrial injuries benefits
  • Individual Savings Accounts (ISAs)
  • some National Savings and Investments products.

Contact opens link in new window Tax Help for Older People (TOP) or opens link in new window HMRC for further information about which types of income are taxable and non-taxable.

Should I be paying tax?

We all have a personal tax-free allowance (unless your income exceeds £115,000) which represents the amount of income you can receive without paying tax. Some people are entitled to other allowances as well, like Married Couple’s Allowance and Blind Person’s Allowance.

Our guide opens link in new window Tax guide and factsheet opens link in new window Income Tax list how much the allowances are this year and can help you work out if you’re paying the right amount of tax.

Our online opens link in new window tax calculator can help you check if you’re being incorrectly taxed. This includes underpaying as well as overpaying. Underpaying may not seem like a bad thing, but can become a major problem if HMRC catches on and seeks to recover large sums of money from you.

opens link in new window Download the guide Tax guide (PDF 630 KB) 

opens link in new window Download the factsheet Income Tax (PDF 212 KB)

opens link in new window Download the factsheet Planning for retirement: money and tax (PDF 276 KB)

We are grateful for the generous support of Dr Naim Dangoor CBE
and The Exilarch's Foundation

Your Age UK

Set your location to see what Age UK offers in your local area.

Age UK Advice:
0800 169 6565
Hands typing on a computer

Email update

Sign up for our free email newsletter.

Useful information to download

        View all downloads
        Help with downloads

        Downloads

        What is a download?

        A download is a document (like a research report, a leaflet, or an application form) that can be transferred from our website to your computer. You can download a file, view it on your screen, print it, or save it to your computer.

        What is a PDF?

        PDF stands for ‘portable document format’.

        Most downloads on this website are PDFs. We use this format to ensure that the document looks the same on everyone’s computer (website pages, by contrast, appear differently depending on how people have set their computer up).

        How do I download a PDF?

        Computers use a program called Adobe Acrobat Reader to download PDFs. If you try clicking on a link to download a PDF and it doesn’t work, you will need to install Adobe Acrobat Reader onto your computer.

        How do I install Adobe Acrobat Reader?

        The process is quite straightforward and is free.

        1. Go to opens link in new window http://get.adobe.com/uk/reader/
        2. Click ‘Download’.
        3. Wait for the window to offer you the option to ‘Run’, then choose this option.
        4. Click ‘Next’.
        5. Click ‘Install’
        6. Wait for the window to offer you the option to ‘Finish’, then choose this option.

        How do I change a download?

        PDFs cannot be changed. If you need to be able to type into a downloaded document (for example, if we are offering a letter template that you need to put your name on) we will provide it as a Microsoft Word document rather than a PDF. You can then download it, type into it and save it to your computer.

        How do I print or save a download?

        Downloads will open on your computer in a new browser window.

        Inside this window (below all your web browser menus), there will be a toolbar with options for you to print or save the document.

        Close the browser window to return to the Age UK website.

        Can my screen reader read PDF downloads?

        We have made every effort to make our PDFs accessible to screen readers. Here is an overview of your accessibility options available in Acrobat Reader. Please ensure that you have downloaded the latest version of Acrobat Reader from the Adobe Reader website to ensure that they are included in your version of the programme.

        You can use Adobe Reader to read a PDF out loud with the following shortcut keys:

        • Read the document: Shift +Ctrl+Y
        • Read the open page only: Shift +Ctrl+V
        • Read to the end of the document: Shift+Ctrl+B
        • Pause: Shift+Ctrl+C
        • Stop Shift+Ctrl+E

        You can also convert a PDF into a web page by following these steps:

        • Copy the URL (web address) of the document (right-click on the link and select ‘Save target as’ or ‘Copy link’).
        • Open the Adobe online conversion tool in your browser and paste the URL into the URL box.
        • Tick the HTML box on the Format option and click ‘Convert’.

        You can convert a PDF document into a text file for use with other software and hardware such as Braille printers by opening the PDF and choosing ‘Save as text’ from the File menu.

        Useful website

        • HM Revenue & Customs help ensure that the money is available to fund the UK's public services. They also provide targeted financial support to families and individuals. Visit their ‘Contact us’ section to enquire about taxable income.

        Close window
        Display options

        Set the appearance of this website so you can read it more easily

        Text size

        Background/foreground


        To see information relating to Northern Ireland, Scotland or Wales set your preference below: