Modifying a Salary Exchange Agreement: What You Need to Know 

Can a Salary Exchange Agreement Be Altered?  


A salary exchange agreement can typically be altered in various situations. For instance, if an employee chooses to opt out of an automatic enrolment scheme with salary exchange, adjustments can be made.  


For other circumstances, the feasibility of altering the agreement depends on its initial setup. Changes might be necessary when significant life events impact an employee’s financial situation.  


This includes scenarios such as:  

  • Marriage or divorce 
  • Partner’s redundancy or pregnancy 


Benefits of a Salary Exchange Scheme:   

  • Employers save on National Insurance contributions. 
  • Employees enjoy tax and NI savings. 
  • Employers can reinvest NIC savings into their business or employees’ pensions. 
  • Employees receive higher pension contributions or increased take-home pay. 
  • Reinvesting NIC savings can lead to a larger retirement fund. 


Explore Husky for Enhanced Benefits: You can maximise employee benefits by reinvesting savings into their workplace pension fund. Husky offers the flexibility to distribute these savings between the company and employees using specific percentages. 

Changes to the Salary Exchange agreement (including increasing the %) can be done automatically with the Husky app. 


For detailed guidance, our team at Husky will make sure you and your employees will have the financial experience they deserve and ensure compliance and send all communications but also keep an automated audit trail of everything. 


Husky turns workplace pensions into the employer's super power

Husky is the sole independent workplace pension platform in the UK. Husky’s team has invested in technology that integrates your pension, payroll, salary exchange and compliance into one system to improve the financial well-being and save your business time and money.