Question asked by Sara Louise Dyke 5 weeks ago
I can see the process of moving an employee to a salary sacrifice pension, but i cant see any notes to change the percentages? Surely, when an employees wants their pension to be taken via salary sacrifice, the percentage contributions must change as well? Thank you
Hi Sara,
When you tick on Salary Sacrifice, you must input the nominal salary. Pension contributions will be calculated based on the the Nominal annual salary not the Gross annual pay value. If you are offering your employees a salary sacrifice as part of a pension scheme you can reduce the 'Gross annual pay', however, make sure to reduce the Employee's contributions from the employee so that they are not contributing twice and increase the Employer's contribution as appropriate.
Tommy
Hi Tommy,
So for example after we have amended the Gross Annual Salary and tick the Salary Sacrifice, previously the percentages would have been 5% employee and 3% employer, we now need the percentages to be shown as 0% employee and 8% employer?
Thank you
Hi Sara,
Yes, that is correct.
Tommy
