£100,000 salary sacrifice 2026/27
On £100,000 for 2026/27, a 5% salary sacrifice of £5,000.00 cuts take-home pay from £68,557.40 to £65,657.40 — a reduction of £2,900.00 that buys a £5,000.00 pension contribution while saving the tax, NI (and any student loan) you would otherwise pay on it. The same contribution under net pay leaves you with £65,557.40.
| Method | Taxable income | Income tax | NI | Pension (you) | Take-home |
|---|---|---|---|---|---|
| No pension | £87,430.00 | £27,432.00 | £4,010.60 | £0.00 | £68,557.40 |
| Net pay (5%) | £82,430.00 | £25,432.00 | £4,010.60 | £5,000.00 | £65,557.40 |
| Salary sacrifice (5%) | £82,430.00 | £25,432.00 | £3,910.60 | £5,000.00 | £65,657.40 |
| Relief at source (5%) | £87,430.00 | £27,432.00 | £4,010.60 | £5,000.00 | £63,557.40 |
All figures are annual, England/Wales/NI, 2026/27, no student loan. A 5% contribution on £100,000 is ££5,000.00. Salary sacrifice reduces the NI and loan bases; net pay does not; relief at source keeps tax on full gross and adds 20% relief via the provider.