The Salary Calculator

Salary sacrifice and personal pensions

by Admin

For many years, The Salary Calculator has allowed you to enter a percentage of your salary to be deducted as contributions to a pension. However, only employer (or occupational) pensions have been supported. Now, the calculator has been updated to allow you to specify whether your contributions are to an employer pension (as before), a salary sacrifice scheme, or a personal pension.

These three different types of pensions have different regulations applied to them, which means they affect your take-home pay in different ways. Your income tax, National Insurance contributions and even student loan deductions might be different depending on the type of pension scheme you are paying into. More information about the different pension types is on The Salary Calculator “About” page.

Choose the “Pension” tab on The Salary Calculator to see the new options and see how it affects your take-home pay!

Tags: employer, income tax, national insurance, pension, pension scheme, Pensions, personal pension, salary sacrifice