Why are your SIPP payments "Gross Employer Contributions"?
Because we take the contribution from the gross contract income we receive for you BEFORE any deductions take place, so you get maximum tax savings upfront.
How it works💡
What we do:
- Take your contribution from gross contract income we receive for you (before any tax is calculated)
- Give you full tax AND National Insurance relief instantly
- Send the money to your pension as "Gross Employer Contributions"
What this means:
- You've already got your tax relief - no need for your pension provider to claim it from the government
- Maximum tax savings - you save on income tax AND National Insurance
- Complete employment cost savings passed on to you
Why this is better than "Net Employee Contributions" 🎯
If it were "Net Employee Contributions":
- They would be deducted from your take-home-pay (after tax and NI)
- Your pension provider would claim basic rate tax relief (20%)
- You'd miss out on National Insurance savings
- You wouldn't get the full employment cost benefit
Our "Gross Employer Contributions" way:
- You get tax relief instantly when we process payroll
- You save National Insurance too (which you can't reclaim later)
- Maximum benefit from the salary sacrifice arrangement
The Nasa Advantage 🌟
Not all umbrella companies do this properly - many keep part of the employment cost savings for themselves.
We pass on 100% of the savings to you - that's the difference!
Bottom line: "Gross Employer Contributions" = you've already received maximum tax benefits!