General contributions

If my employer went bust, what will happen to my pension and the contributions that they owe me?

You may have heard in the news about pension savers losing their money in the event of their employer going …

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How are qualifying earnings calculated for contributions made via salary sacrifice?

  If your employer is using a defined contribution scheme (which The People’s Pension is), then the qualifying earnings used …

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Do childcare vouchers count as qualifying earnings and therefore do we have to pay pension contributions based on the value of these?

  Childcare vouchers are usually given to employees via a salary sacrifice arrangement where an employee gives up the right …

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If I’m made redundant do I have pay pension contributions based on my redundancy pay?

  The tax-free redundancy payment (up to £30,000), ie the lump sum you’d get for being made redundant, isn’t counted …

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Do my contributions include overtime pay?

  Some employers will calculate your pension contributions based on your basic salary whereas other employers will base contributions on …

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What’s the maximum amount I can pay into my pension pot?

 You can pay as much as you like into your pot, but there are limits to how much tax relief …

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How much should my employer contribute?

Your employer has to pay a minimum of 3% on what’s known as qualifying earnings into your pension pot. This …

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Are there any disadvantages of salary sacrifice?

You need to consider the following downsides of salary sacrifice: Lower life cover (this is because employers generally work out …

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What’s the minimum amount that I can pay into my pension pot with The People’s Pension?

  The minimum total contributions under auto-enrolment have been set down by the government and have increased in stages. The …

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