What is a Workplace Pension?
A workplace pension is a retirement savings plan set up by your employer to help you prepare financially for your retirement. Thanks to the UK’s automatic enrolment laws, if you’re aged between 22 and over the state pension age and earn over £10,000 per year, your employer is legally required to enrol you in a pension scheme.
Key Benefits of a Workplace Pension
One of the biggest advantages of a workplace pension is that your employer also contributes to your retirement savings. This is essentially extra money that boosts your pension pot—money you wouldn’t receive if you opted out. For every contribution you make, your employer adds more, helping to grow your savings without any additional effort from you.
Tax Relief and Savings Boost
Another benefit of a workplace pension is tax relief. The government incentivizes pension contributions by offering tax relief on the money you save. For example, every £1 you contribute costs you less than £1 from your take-home pay. Essentially, for every £100 you contribute, the government helps increase your savings by giving you back some of the tax you’ve paid.
AMEX Outsourcing can ensure that the correct figures are going into your pension pot to ensure a stress-free retirement.
Contact our team for any questions regarding your pay
Telephone: 01952 973 737
Email: hello@amexoutsourcing.com
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