Pension fintech Jarvis has introduced a free salary sacrifice calculator that helps businesses calculate potential savings while enhancing their employees' pension contributions for the upcoming financial year.
The calculator reveals that SMEs could save up to £15,150 annually in National Insurance contributions through implementing salary sacrifice schemes. This comes at a crucial time as employer NICs have increased by 1.2% in the 2024 Autumn Budget, adding financial pressure to businesses already navigating economic uncertainty.
Salary sacrifice allows employees to redirect part of their gross salary into their pension, reducing both the employee's and employer's tax burden while boosting retirement savings. This approach is particularly valuable as the average person currently falls around £115,000 short of a standard pension pot.
Royden Greaves, CEO and Founder of Jarvis, emphasised that while "salary sacrifice" might sound intimidating, it's actually a straightforward strategy benefiting both businesses and employees. The calculator aims to provide clear insights into potential savings and earnings.
This launch follows Jarvis's recent £1.8 million seed funding round and a new partnership with payroll platform Finity, marking continued growth for the pension fintech.
Gideon Kumi
Jarvis
