Adviser > Your business > Salary Sacrifice > Salary Exchange Calculator
Salary Exchange Calculator
IMPORTANT NOTE: Budget changes mean that those who earn £150,000 or more and use salary exchange may not receive higher rate tax relief on their pension payments. However any salary exchange agreements in place for such individuals before 22 April 2009 will be unaffected until the expiry of the agreement (normally 12 months).
You can find more details of these changes on our Technical Central website.
Notes :
The figures are based on tax and National Insurance rates effective from 6th April 2009.
The figures shown are for illustration purposes only and do not constitute any form of advice. You should speak to your own financial adviser in this respect. You may be charged for any advice given by your financial adviser. Any such charge or cost should be confirmed at outset.
This statement takes account of basic rate tax relief only where payments are made net from net pay. Higher rate tax is taken into account in the tax calculations however the amount of higher rate tax relief actually available will depend on individual circumstances.
The statement assumes you are under age 65 and contracted-in to the State Second Pension (S2P).
Salary exchange could reduce your entitlement to statutory benefits, means tested benefits, tax credits or other salary related finances, for example mortgages.
References to taxation are based on our understanding of the current law and practice and may be affected by changes in legislation or an individual's personal circumstances. Annual amounts of earnings thresholds and limits are used when calculating National Insurance Contributions.
If Salary exchange is set up on a percentage of salary basis, note that the actual amounts payable may be slightly different to those shown due to rounding.
Scottish Life accepts no responsibility for any loss as a result of relying on the figures in the calculations shown.
For professional advisers only