Salary sacrifice calculator
Salary sacrifice swaps salary for an employer pension contribution, so you save income tax and employee National Insurance (8%, or 2% above the upper earnings limit) on the amount, and your employer saves 15% National Insurance it may pass on. This calculator compares it with a relief-at-source contribution of the same size.
Last reviewed 6 October 2026 · rules version rules@2026-10-06#25 · HMRC, HMRC
Compare salary sacrifice with paying the same into your pension yourself: take-home pay, tax and National Insurance.
Questions
- Is salary sacrifice always better?
- Usually for take-home pay, but it lowers your contractual salary, which can affect borrowing, some benefits and anything linked to salary. It cannot take pay below the National Minimum Wage.