Salary exchange

Salary exchange can deliver substantial savings to both employer and employee by removing National Insurance liabilities on members’ payments to your pension scheme. How you use your savings is up to you, but they can then be used in a variety of ways, such as:

  • funding the implementation of salary exchange or other improvements to your employee benefits package
  • offering increased employer contributions
  • reducing the overall cost of your pension and employee benefits


How we can help you

We can help you take advantage of salary exchange by establishing an arrangement that is legally compliant, simple to operate, saves you money and offers a valuable benefit to your employees.

Our service is tailored to the level of support you require, and includes:

  • feasibility and financial modelling
  • scheme rules and considerations
  • employee communication and implementation

We know that any decision affecting company finances must be carefully considered so we have developed interactive tools that can help you design, with confidence, a salary exchange scheme that is aligned with your overall financial and reward objectives.


 Insights and views

    Countdown to Flexiday: Increased opportunities to take small benefits as cash
    27 June 2014
    In this note, the third in our ‘Countdown to Flexiday’ series, we look at the changes to the rules for trivial commutation made in this year’s Budget, in particular whether bulk trivial commutation exercises are now likely to be more attractive.

    Read more
    Countdown to Flexiday: Will all transfers from DB schemes be banned?
    29 May 2014
    In this note, the second in our ‘Countdown to Flexiday’ series, we look at the options being considered for a possible ban or restrictions on transfers from private sector defined benefit (DB) schemes and their implications.

    Read more
    All Change for DC
    29 April 2014
    Getting defined contribution (DC) pensions right is key to making auto-enrolment a success and improving retirement incomes for millions of people. This briefing note focuses on the action points for trustees of DC schemes and sections.

    Read more
    Draft IORP II Directive: new proposals from Europe
    28 April 2014
    The European Commission (EC) published draft revisions to its Directive on the activities and supervision of institutions for occupational retirement provisions (IORPs), known as the IORP II Directive, on 27 March 2014. The stated aims of the revisions are improving the governance and transparency of IORPs in Europe.

    Read more
    Government sets 0.75% charge cap for auto-enrolment schemes and will ban commission
    31 March 2014
    The government has introduced a 0.75% charge cap on the default funds of qualifying schemes used for auto-enrolment from April 2015 and has confirmed that from April 2016 commissions and active member discounts will be banned.

    Read more
    Visit the Industry Insights page for news and views on the latest industry developments


    Preparing for your next valuation
    6 November 2014
    For Trustees, Finance Directors and those responsible for Pensions and Corporate Risk
    Read more
    Visit the Events area for all forthcoming Punter Southall seminars, conferences and events
    Speak to us

    Speak direct to our specialists in this area
    Nick Frankland
    Or call us on
    020 3327 5000

 DC Survey 2012