Pension salary sacrifice is becoming an increasingly popular way for both employees and employers to get the best value for money from their pension spend.

Through pension salary sacrifice, an employee agrees to exchange part of their pay for employer pension contributions, and in doing so both the employee and their company pay lower National Insurance contributions.

Pension salary sacrifice can be simply a cost saving and value enhancement exercise but can also be used to introduce pension changes or as part of a flexible benefits programme.

Not all pension schemes are the same and so salary sacrifice plans need to be designed for the nature of the pension plan as well as satisfying business objectives and legal requirements.

First-class communications, project management and reward and pensions technical expertise are essential ingredients for maximising potential savings. Hewitt regularly achieve impressive take up rates for these schemes.

For more information contact Paul Nanon via email or phone at +44 (0) 1727 888427.