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employee makes AVC to DC via salary sacrifice: clawback of employer's NI saving?

gpadsa
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employee makes AVC to DC via salary sacrifice: clawback of employer's NI saving?

#636485

Postby gpadsa » December 27th, 2023, 4:01 pm

If an employee makes an additional voluntary contribution to a workplace DC pension scheme via salary sacrifice, thereby lowering payments to HMRC of all of: employee PAYE & NI and employer NI

Are there any employers out there that credit some/all of their NI saving to the employee?

Looking for a precedent/examples.

gpadsa

pochisoldi
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Re: employee makes AVC to DC via salary sacrifice: clawback of employer's NI saving?

#636491

Postby pochisoldi » December 27th, 2023, 4:36 pm

In my experience, one employer "went halves" on the ER NI saving (only basic pay was pensionable) , the other two gave nothing and forces pension contributions from all pay (basic/bonus/anything else taxable, save severance).

There is no entitlement - it's in the employer's gift.

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Re: employee makes AVC to DC via salary sacrifice: clawback of employer's NI saving?

#636497

Postby DrFfybes » December 27th, 2023, 5:12 pm

Certainly the Local Govt ones I've come across don' t refund Employer's NI, although they are DB schemes.

Paul


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