Pension Contribution Calculator
Calculate employer and employee pension contributions
- Enter your gross annual salary
- Select your pension contribution type (check your payslip or ask HR)
- Enter your employee contribution percentage (typically 5%)
- Enter your employer contribution percentage (typically 3%)
- View how much goes into your pension and what it costs you
The calculator shows the total going into your pension including tax relief, and what it actually costs you from your take-home pay.
What's the minimum pension contribution?
Under auto-enrolment, the minimum total contribution is 8% of qualifying earnings (employee 5% + employer 3%). Your employer may offer better terms.
What's the difference between relief at source and net pay?
Relief at source: You pay 80% of your contribution, and the pension provider claims 20% tax relief from HMRC. Net pay: Your contribution is taken before tax, giving immediate tax relief.
Can I contribute more than the minimum?
Yes! You can increase your contribution percentage. Some employers match additional contributions. The annual allowance is £60,000 (2024/25), though this may be tapered if you earn over £260,000.
Do higher rate taxpayers get more tax relief?
Yes. With relief at source, 20% is added automatically, but higher (40%) and additional (45%) rate taxpayers can claim extra relief through their tax return. With net pay, you get full relief automatically.
Does employer pension contribution affect my tax?
No, employer pension contributions are not counted as taxable income, so you don't pay tax or National Insurance on them. They're a tax-free benefit.