Salary Sacrifice on a £45,000 Salary
Estimated effect of sacrificing 5% of a £45,000 salary into a pension, in England, Wales or Northern Ireland.
Effective cost
£1,620
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Already sacrificed, as a % of salary
Additional sacrifice
Region
Salary sacrifice
Effective Cost of This Sacrifice
£1,620
Where the saving comes from
For every £1 that enters your pension this way, your take-home only falls by £0.72 - the rest is Income Tax and National Insurance you'd otherwise have paid. This is modelled as salary sacrifice, which also reduces student loan repayments where applicable. Figures use published 2026/27 rates and are estimates for general guidance only.
Why it costs less than the amount sacrificed
Sacrificing salary reduces your pay for both Income Tax and National Insurance purposes, so your take-home falls by less than the full amount going into your pension. The exact saving depends on which tax band the sacrificed amount would otherwise have fallen into.
Other salaries
Want a different sacrifice amount?
Use the full calculator for a fixed amount, region or student loan.