John Reilly

Sorry….. but 21 hours and my question isn’t even “posted” yet?

Hello, my son is considering using salary sacrifice to boost his pension. I would like to clarify the relationship between salary sacrifice and the NMW. In the reply above it says that, after salary sacrifice, the employee's GROSS Pay should not fall below the NMW. However, in another HMRC document it states “A salary sacrifice arrangement must not reduce an employee's cash earnings below the National Minimum Wage” The reference to "cash earnings" seems to imply that it is the NET pay which must still be above the NMW? Could you please clarify this for me? John