Those with employers who agree to salary sacrifice

JustAnotherSaver

Mine doesn't do this but it doesn't stop me from asking here & there if they've changed their stance.

I'm just curious - for those of you who work for employers who agree to this, what percentage of the savings do they pass on to you & pay in to your pension?

Triumph13

Mine gives 6% and pockets the other 7.8%. In their defence their is an admin burden as they allow changes in contribution level which lets you pulse between min contribution and min wage to maximise EEs NI savings if you earn enough.

xylophone

Remember that the employers can offer SS without offering to pay in any of the savings they make on NI.

https://www.pensionsadvisoryservice.org.uk/about-pensions/saving-into-a-pension/salary-sacrifice

bluenose1

My employer doesn't give us any back. Though they do make pension contributions of close on 20%.
The 12% NI saving that we get as employees is still worth it.
I thought it was to employers financial advantage to do it so not sure why yours wont.

bolwin1

mine pass on 5% to my pension & keep 8.8% themselves. I'm happy enough with that.

Zero_Sum

bluenose1 wrote: »

My employer doesn't give us any back. Though they do make pension contributions of close on 20%.
The 12% NI saving that we get as employees is still worth it.
I thought it was to employers financial advantage to do it so not sure why yours wont.

Public sector pensions arent allowed to be sal sacrifice. Plus if you're low paid & the sal sacrifice takes you below NMW then thats also not allowed.

eastcorkram

On the contribution side, my employer pays 5%, and I put in 25%. They don't pass on any of their NI saving. I'm ok with that, but obviously would be good if they did. Can't imagine why they would though.

Novice_investor101

Mine puts in 14% to my 8%, so they give 0.2% in addition.
It is on a sliding scale though, if I put in less they also put in less. 8% & 14% in terms of matching are the (worthwhile) maximums. I can pay in more but my employer only increases by 0.05% to every 0.5% I sal sac above 8%.
I'm concentrating on building up my S&S isa & LISA at the minute, but may start putting more into my pension when payrises come in to take advantage of the 32% tax & NI relief.

michaels

Two thirds to me, one third to them.

AnotherJoe

AFAICR (I left a couple years ago) mine split 50/50 of the employers NI

daveyjp

Zero_Sum wrote: »

Public sector pensions arent allowed to be sal sacrifice. Plus if you're low paid & the sal sacrifice takes you below NMW then thats also not allowed.

Some public sector AVCs offer a salary sacrifice option. Employer NI savings pay for the AVC management company which operates the scheme.