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Salary sacrifice: max out this pension tax break while you can

The clock is ticking to take advantage of this valuable UK scheme, as the benefits are to be restricted from April 2029

Millions of workers are able to take advantage of a scheme that allows them to boost their pension and pay less tax, and experts are urging people to “max out” this valuable perk before the rules are tightened.

Salary sacrifice lets you exchange some of your wages for a different benefit from your employer, such as a company car – or, in this case, pension contributions. You will then pay less tax and national insurance (NI) on your lower salary.

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Jun 10, 2026 Pensions Tax Employee benefits

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