?2,500 per month limit
During the Coronavirus outbreak, the government have said that they will subsidise employers’ costs to pay staff who are not working and are instead placed on “furlough”. The government subsidy is limited to 80% of the employee’s salary, or ?2,500 per month, whichever is the lower. To make sure this cap is applied to your calculations, tick the box.
For some people, although the amount they are getting paid has been reduced, their pension contributions are still calculated on their full salary. If this applies to you, tick this box and the calculator will use your full salary to work out the pension contributions to apply.
Tax Code
If you know your tax code, enter it here to get a more accurate calculation of the tax you will pay. If you are unsure of your tax code, just leave it blank and the default will be applied.
Student Loans
There are several methods for repaying student loans, and more than one may apply to you. If you started your undergraduate course before 1st , or you lived in Northern Ireland, your loan will be repaid under “Plan 1”. If your course started on or after 1st and you lived in England or Wales, you will repay your loan through Plan 2. From , choose Plan 4 if you lived in Scotland (even if you took out your loan before 2021). Loans for postgraduate study are repaid through the Postgraduate Loan plan. Tick the relevant box(es) to see the deductions.
Bonus Payments
If you are being awarded a bonus by your employer, enter the ? value of this bonus and choose your normal pay period. This is treated as a one-off payment in a single pay period.
Instead of the usual columns payday loans in Oklahoma in the results table, you will see your yearly totals and a comparison of your bonus period with a normal period.
As most employers do not include bonus payments in the calculation of pension deductions, the calculator also makes no changes to pensions in a bonus period.
Pension Contributions
If you contribute to a pension scheme by having a percentage of your salary deducted by your employer, enter the percentage into the “Pension contribution” field.
If you do not know the percentage that you contribute, you can instead choose to enter the amount, in pounds and pence, that you contribute from each payslip.
Choose the type of pension that you have, either an auto-enrolment employer pension, an other (non-auto-enrolment) employer pension, a salary sacrifice scheme, or a personal pension. For auto-enrolment pensions, the percentage contribution field only applies to your earnings between the lower and upper thresholds (?6,240 to ?50,270), not your whole income.
If your pension is not auto-enrolment, you can choose whether your contribution is based on your whole gross salary, or your “Qualifying Earnings”, which is the amount you earn between the auto-enrolment thresholds described in the previous paragraph. If your overtime payments or bonuses are subject to pension contributions, tick these boxes (these apply automatically to auto-enrolment pensions).
If you receive cash allowances, like a car allowance or mobile phone allowance, and this is also included in your pensionable pay, tick the “Include cash allowances” box.
Childcare Vouchers
If you receive childcare vouchers as part of a salary sacrifice scheme, enter the monthly value of the vouchers that you receive into the box provided.
Salary Sacrifice
You might agree with your employer to contractually reduce your salary by a certain amount, in exchange for some non-cash benefits. From , most schemes will only save National Insurance on the value of those benefits.