What % of salary do you put in your pension per month and why?

Minty33

PParka said:

66% plus 8% from my employer.
Making the most of Salary Sacrifice until retirement in 5-ish years.  

There are a couple of entries like this where the % is > 50% and the poster mentions salary sacrifice

Are you allowed to salary sacrifice more than 50%?  Won't you then be contributing more than HMRC see as your salary for the year?
For some reason I've always thought I couldn't contribute more to my pension in one year than my annual pay after salary sacrifice. - so the Gross pay  on my P60 / tax form. 

maybe I need a rethink on my salary sacrifice this year.

What_time_is_it

Minty33 said:

PParka said:

66% plus 8% from my employer.
Making the most of Salary Sacrifice until retirement in 5-ish years.  

There are a couple of entries like this where the % is > 50% and the poster mentions salary sacrifice

Are you allowed to salary sacrifice more than 50%?  Won't you then be contributing more than HMRC see as your salary for the year?
For some reason I've always thought I couldn't contribute more to my pension in one year than my annual pay after salary sacrifice. - so the Gross pay  on my P60 / tax form. 

maybe I need a rethink on my salary sacrifice this year.

I sometimes contribute more than 50%. The factor that determines my maximum contribution is the National Minimum Wage - because I am using salary sacrifice I have to ensure that my pay AFTER pension deductions comes to higher than £1,636.81 in any given month. 

kuratowski

Minty33 said:

Are you allowed to salary sacrifice more than 50%?  Won't you then be contributing more than HMRC see as your salary for the year?

This doesn't matter, this is permitted because contributions made through salary sacrifice are employer contributions, so the relevant UK earnings limit does not apply.  You are only limited by the annual allowance (plus carry forwards).

retiringtoosoon

….and NMW.

MEM62

25% (Excluding my employer's contribution)  Why, because I want to enjoy retirement.   

Yorkshire_Dangermouse

101%, including employer contributions via salary sacrifice....

chucknorris

Yorkshire_Dangermouse said:

101%, including employer contributions via salary sacrifice....

101% cannot be correct (are you a sports fan? I am too, but when they say 110% effort, I realise that they are totally non mathematical! The question of this post was what do 'you' (not your employer) put into your salary, I do the same as you do, I invest everything in that I can, but its impossible to invest more than 100%, unless you are a 'sports fan', and even then it is delusional.

Yorkshire_Dangermouse

chucknorris said:

Yorkshire_Dangermouse said:

101%, including employer contributions via salary sacrifice....

101% cannot be correct (are you a sports fan? I am too, but when they say 110% effort, I realise that they are totally non mathematical! The question of this post was what do 'you' (not your employer) put into your salary, I do the same as you do, I invest everything in that I can, but its impossible to invest more than 100%, unless you are a 'sports fan', and even then it is delusional.

Well, my 76% together with employers 25% do come out at....101%.  The OP mentioned their employers contributions, and that through salary sacrifice, so providing directly comparable information....  

chucknorris

Yorkshire_Dangermouse said:

chucknorris said:

Yorkshire_Dangermouse said:

101%, including employer contributions via salary sacrifice....

101% cannot be correct (are you a sports fan? I am too, but when they say 110% effort, I realise that they are totally non mathematical! The question of this post was what do 'you' (not your employer) put into your salary, I do the same as you do, I invest everything in that I can, but its impossible to invest more than 100%, unless you are a 'sports fan', and even then it is delusional.

Well, my 76% together with employers 25% do come out at....101%.  The OP mentioned their employers contributions, and that through salary sacrifice, so providing directly comparable information....  

Ok, I get it, but you don't, so you a sports fan!

Although he did mention employer contributions, he actually said:What % are you saving (although he meant investing).

retiringtoosoon

chucknorris said:

Yorkshire_Dangermouse said:

chucknorris said:

Yorkshire_Dangermouse said:

101%, including employer contributions via salary sacrifice....

101% cannot be correct (are you a sports fan? I am too, but when they say 110% effort, I realise that they are totally non mathematical! The question of this post was what do 'you' (not your employer) put into your salary, I do the same as you do, I invest everything in that I can, but its impossible to invest more than 100%, unless you are a 'sports fan', and even then it is delusional.

Well, my 76% together with employers 25% do come out at....101%.  The OP mentioned their employers contributions, and that through salary sacrifice, so providing directly comparable information....  

Ok, I get it, but you don't, so you a sports fan!

Although he did mention employer contributions, he actually said:What % are you saving (although he meant investing).

You sound fun!