What is a ‘good’ company contribution on DC scheme

Turpinr

I pay 6%, employer pays 5.6%

232607

Mine pays 15% to my 5%.

lisyloo

My employer contribution is 3% which I think is low.


However they do salary sacrifice which allows me 12% NI and they pass on 13.8% which is their employers NI - so total 25.8% of MY contribution.


I make good use of that and therefore get 14.19% of salary in NI.

tiernsee

Mine is a double matched scheme up to 7.5% (so for most of us we put in the maximum and they put in 15%). We used to have a really good DB scheme but this went around 10 years ago

blisteringblue

A long time ago I had a non-contributory DB Pension, and it paid 56x CETV too. Those were the days but I know it changed after I left and didn't continue like that.

Currently my company matches up to 8%, but I pay 12% (still getting 8% obviously)

Malthusian

Brynsam wrote: »

A 'mean'(!) employer contribution of 'only' x% might look better if there's a bonus which is regularly in the order of 50% of salary, say...

...especially if you can sacrifice your bonus for an employer contribution (and get NI relief on top of income tax relief).

Like Lisyloo, I nominally only get auto-enrolment contributions, but my employer offers salary sacrifice with the full NI saving paid into the fund, so it is considerably better than it sounds.

Drp8713

My two private sector employers were:

You pay 6% they pay 5%.
And
6% non contributory

PipPip

I pay 7% and they pay 14% plus 1% NI saving, so 22% going in. This is working for a pension company so I thought it was generous but I see others have even more generous employers!

bowlhead99

Mine pays 5% with no contributions needed by the employee (though auto enrollment from next April will be 5% employer 3% employee).

If you want to contribute you can do so by salary sacrifice, though the company doesn't gift you any of the employer's NI savings it would make (instead going to fund the admin hassle /extra complexity of the salary sacrifice vs standard scheme).

And the salary sacrifice is only allowed up to a max of 10% of salary, anything extra you have to use 'traditional' contributions which get paid into the same pot. Or just make your own private arrangement, which is what I do

Turpinr

Mine does salary sacrifice too