Employee pension deductions differ from those expected
Description

This article assumes that the percentage the employee is contributing is correct, but the value calculated is still incorrect. If you need to check this, read Check or edit an employee’s pension contribution

In this case, it means you haven’t set up the pension correctly. Below is a list of things to check.

Cause
Resolution

Each provider has different criteria to calculate a pension amount. If you’re unsure of the settings you should use, check with your provider.

Select you provider below to see what information you need.

▼SMART

Type of contribution?

  • Salary Sacrifice
  • Contribution deducted before tax
  • Contribution deducted after tax

What earnings basis are the contributions deducted from?

  • Unbanded earnings
  • Banded earnings
  • Custom earnings basis
▼NOW

Type of contribution?

  • Salary Sacrifice
  • Contribution deducted before tax
  • Contribution deducted after tax

What plan type is it?

  • 101 - Auto enrolment standard
  • 102 - Auto enrolment standard
  • 103 - Stepped saving
  • 104 - Saving plus
  • 105 - Matched saving
▼Nest

Type of contribution?

  • Salary Sacrifice
  • Contribution deducted before tax
  • Contribution deducted after tax

What earnings basis are the contributions deducted from?

  • Pensionable Pay
  • Qualifying Earnings
  • Custom Earnings Basis
▼The People Pension scheme

Type of contribution?

  • Salary Sacrifice
  • Contribution deducted before tax
  • Contribution deducted after tax

What earnings basis are the contributions deducted from?

  • Pensionable Pay
  • Qualifying Earnings
  • Custom Earnings Basis

Next step

Once you’ve confirmed the relevant details, you need to update this in Payroll. Read Edit a pension scheme.

Steps to duplicate
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Pension not calculating