Graduates to pay extra 17% on salary sacrifice above new cap from 2029

Graduates to pay extra 17% on salary sacrifice above new cap from 2029

Graduates paying off their student loans will pay an extra 17 per cent on pension contributions above £2,000 from 2029 as a result of changes to salary sacrifice schemes. These schemes allow you to receive a lower salary in exchange for your employer putting the difference directly into your pension, saving you national insurance (NI) contributions. In last year’s autumn Budget, Chancellor Rachel Reeves announced that salary sacrifice will be ca…