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Self employed already dodge paying much of the tax that I have no option on.
Wow, this turned out strange. A simple “No, no-one checks and everyone accepts it was a good idea which has just become a nice tax perk for the rich” would have sufficed.
It's STW, it's the only way it could have turned out, i sometimes think that this place is where a few dyslexic Socialist Workers Party end up 🤣
"Lets not forget that all of these sacrifices impact pension contributions and can end up being way more costly over time."
How so? My company and everyone I knows company work out the company pension contributions based on your pre-salary sacrifice salary. The only way it might impact it is if an employee who wants to get under a tax threshold (either 80k for child benefit, or 100k for tax free child care / 30 hours free childcare being the obvious places) does that by getting a nice bike, instead of bunging the excess into their pension.
“It’s STW, it’s the only way it could have turned out, i sometimes think that this place is where a few dyslexic Socialist Workers Party end up 🤣”
It’d be a dull place if the thread had one concise answer.
My company and everyone I knows company work out the company pension contributions based on your pre-salary sacrifice salary
Are you sure about that?
AFAIK salary sacrifice is just that, you lose a bit of your salary, and the attendant benefits thereof.
Salary deductions occur after pension contributions, but prior to tax.
AFAIK salary sacrifice is just that, you lose a bit of your salary, and the attendant benefits thereof.
Most companies I'm aware of calculate benefits from the notional salary, and they're unaffected by any salary sacrifice schemes.
Exactly
Apologies, just checked, both are true, it is at the employers discretion.
Wait until they hear that cyclists who buy a Bike To Work bike DOnT PAy RoAD TaX either
Employers benefit from the reduction in employers NI, so are unlikely to want to penalise people for using salary sacrifice schemes.