How we saved a Swiss Cottage finance professional £17,500 on a bonus and RSU year
Client B is a Swiss Cottage finance professional whose total income, salary, a large bonus, and vesting RSUs, reached around £230,000 in one year, well into the additional-rate band and through the personal allowance taper. The income had stacked in a single tax year with no planning, and their previous accountant had simply reported it.
We modelled the mitigations. A substantial pension contribution reduced adjusted net income, recovering part of the tapered personal allowance and getting relief at the marginal rate. We grossed up their Gift Aid donations correctly to extend the basic-rate band. And we reviewed the RSU vesting schedule, advising on whether any element could be deferred to spread the income across tax years and avoid stacking on top of the bonus.