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  1. UK Payroll: Include NIC and PAYG savings in pension contribution when salary sacrificing

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    8 comments  ·  Payroll & expenses » Payroll  ·  Admin →
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    Accepted  ·  AdminDavid Reynolds (Admin, Xero) responded

    Hi everyone, thank you for your feedback on NI savings in pension calculations. We appreciate you sharing how you’re currently managing these contributions when processing salary sacrifice schemes.

    We understand many of you are using spreadsheets and manual workarounds to add these additional employer contributions to the payslip.

    Our product team has reviewed this request and moved it to Accepted so that it can be considered in future planning cycles. Although it isn't currently on the immediate roadmap, we'll keep you updated as things progress.

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    Conor Mills-Wade commented  · 

    We believe the Employers NI savings to pension contribution should be done automatically. Particularly for SMART pension schemes, this should be a standard option in Xero. Xero's core purpose is user-friendliness, yet managing SMART pension contributions through payroll is currently an extremely challenging task. We kindly request that you implement the necessary adjustments to ensure your software automatically processes these salary sacrifice savings contributions. Without this it really increases the payroll process which with this being added would make it a much more streamlined process.

    Conor Mills-Wade supported this idea  ·