We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
auto-enroement & salary sacrifice
kend
Posts: 5 Forumite
I am employed in a small firm with 5 eligible employees for auto-enrolment with a staging date of January 2017.
When I joined the company some ten years ago I wanted to make contributions into pension and it was agreed with my employer this would be done through salary sacrifice with the deduction from my salary being paid into my own personal pension plan.
My pension does not meet auto-enrolment requirements so I will join the company scheme.
My question - on what salary figure should my employer base the empoyer/employee contributions, salary before or after current salary sacrifice deduction. ? I can't find a definitive answer .
Thanks.
When I joined the company some ten years ago I wanted to make contributions into pension and it was agreed with my employer this would be done through salary sacrifice with the deduction from my salary being paid into my own personal pension plan.
My pension does not meet auto-enrolment requirements so I will join the company scheme.
My question - on what salary figure should my employer base the empoyer/employee contributions, salary before or after current salary sacrifice deduction. ? I can't find a definitive answer .
Thanks.
0
Comments
-
At a minimum it should be a percentage of the gross wages between £112 and £815 per week: https://www.nestpensions.org.uk/schemeweb/NestWeb/public/helpcentre/contents/what-are-qualifying-earnings.html
So, if you're getting £120 per week (gross) 1% of £8 (£120-£112) is 8p per week from both you and your employer.
And 'gross' for this means your current salary before the sacrifice, if you're stopping the sacrifice.
---
By the way, under which requirement does your current scheme fail?Conjugating the verb 'to be":
-o I am humble -o You are attention seeking -o She is Nadine Dorries0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.7K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.8K Work, Benefits & Business
- 603.2K Mortgages, Homes & Bills
- 178.2K Life & Family
- 260.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards