Pension contributions and tax

joshparker1911

Higher rate tax payer with company car and medical benefits. I'm looking at finding the sweet spot for salary sacrifice pension contributions where it leaves my take home pay as close to it is now by upping my contributions but reducing my tax as a result. Does anyone know of a calculator that could help me with this ? And what info i would need. Any help would be much appreciated.

Cobbler_tone

Hi Josh,
You just need to build a simple spreadsheet like this. Gross salary, taxable benefits, any other salary sacrifice.

Then you can apply pension contribution percentages to get your taxable pay to stay below the threshold. I currently have 20.1% for tax and NI, probably not the most scientific but my net is always within £2.

joshparker1911

Thanks for that, do you have a copy of that at all ? And can you use it to take into account student loans etc ?

joshparker1911

Also is it only the tax it effects or the NI contributions too ?

Cobbler_tone

joshparker1911 said:

Thanks for that, do you have a copy of that at all ? And can you use it to take into account student loans etc ?

Sent you a message Josh.