Client Story
How we saved a Wapping finance professional £19,200 on a bonus and RSU year
Client B is a Wapping resident working in finance in Canary Wharf, whose total income, salary, bonus and vesting RSUs, reached around £245,000 in one year, deep into the additional-rate band and through the personal allowance taper. The income had stacked in one tax year with no planning.
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 the Gift Aid donations correctly to extend the basic-rate band, and reviewed the RSU vesting schedule to advise on whether any element could be deferred to spread income across tax years and avoid stacking on the bonus.
Total outcome: tax saving of £19,200 through pension contribution, personal allowance recovery, correct Gift Aid treatment and RSU timing, with a forward plan for managing future bonus and vesting years proactively.