Mango154

If an employer offers a Nursery Salary Sacrifice scheme enabling savings on tax and national insurance if your child attends. A high earner with income of say £270k would have their pension annual allowance reduced to £55k. If the employee were to join the childcare salary sacrifice scheme offered by the employer, would this reduce the Adjusted Income and therefore increase the annual allowance for pension contributions? Or would I have to add back this benefit in some way when calculating adjusted income? Example: Adjusted income before nursery salary sacrifice £270k Pension Annual Allowance £55k Adjusted income after nursery salary sacrifice £250k Pension Annual Allowance £60k