ABSTRACT
The need for ill-health cover depends on the level of ill-health retirement benefits a member can expect from the NHS scheme on ill-health retirement or from any other insurance cover. With-profits investments guarantee a specific level of pension on retirement. Tax relief on personal pension plans (PPP) is given in the tax year in which the contribution is paid. The income available for a PPP is the difference between net relevant earnings and NHS superannuable income in any year. Superannuable income is calculated by multiplying the basic 6% NHS scheme contributions by 100/6. Although general practitioners are taxed under schedule D as self-employed independent contractors, they are eligible for tax relief on their contributions to the NHS schemes. It is usually advisable to obtain assistance from a reputable independent financial adviser, who should be able to review a variety of schemes and explain charging structures.
