Salary Exchange

An obvious choice for your workplace pension

Offer a valuable benefit while reducing the business tax bill

Normally, employee pension contributions come out of net pay – that is, after their income tax and National Insurance are deducted. With salary exchange, pension contributions come out before tax, reducing taxable income. As a result, your employer’s National Insurance contributions are lower.

Staff also pay less tax and National Insurance, giving them more take-home pay (without increasing their salary). And you can re-invest all or part of your savings into their pension, providing an even better benefit that positions you as an employer of choice – at no cost to you.

We make the entire process seamless, so it’s simple to offer employees this valuable benefit.

Husky mobile app

Why Salary Exchange

Salary exchange is a simple, administrative change to how your company manages workplace pensions. It costs the business nothing, reduces your tax liability – and is an easy way to help staff boost their retirement savings.

NI Savings

Reduce employer’s National Insurance

Corporation tax relief

Savings on employer’s Corporation Tax

No-cost employee benefit

Quick win for recruitment and retention

How Salary Exchange works

Let’s look at an example of how salary exchange benefits the business and staff.

John’s gross annual salary is £30,000. You, as his employer, pay the legal minimum into his pension – as does he. This means that, each year, John contributes £1,188 and you contribute £712.8, for a total of £1,900.80.

With the switch to salary exchange:

  • You get up to £163.94 savings on employer’s National Insurance and up to £225.72 on corporation tax
  • John gets up to £142.56 more in his take-home pay and up to £163.94 more in his pension pot (depending if you as the employer, re-invest all or part of the above NI savings into the employee’s pot)

And it doesn’t cost you a penny.

The Husky Salary Exchange service

Salary exchange delivers value to the business and staff, but the admin can be complex depending how your workplace pension scheme was set up. With Husky, it’s easy to make this win-win tweak.

We’re proud to be a recognised leader in the pension technology space. With our cloud-based workplace pension platform and employee app, the entire salary exchange process is seamless.

Husky mobile app salary exchange calculator

Use the Salary Exchange Calculator

to see the financial benefits of using salary exchange for the business and staff

Tell employees about the new benefit

we give you all the material you need, as hard copies and in the Husky for Everyone app (where staff can see their personal financial gains)

Sign letter with staff

Salary exchange requires a change to employee contracts; we give you lawyer-approved sample letters suitable for your pension set-up

We take care of ALL the admin

setting up the new contributions and making sure everything is efficient and compliant ongoing

Staff keep track of their pensions with the Husky for Everyone app

exclusive to Husky clients, the app makes pension management as easy as online banking

Start saving

Employers will save on NI contributions and on corporation tax

Let’s discuss

How salary exchange will benefit your business.

We’ve helped 1,000+ businesses save money on workplace pensions while positioning themselves as an employer of choice. Let’s discuss how we can help you and your staff.

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