Calculate your take-home pay and optimize your tax efficiency for 2025/26
Saves income tax only
Percentage of your gross salary
From £50,000 gross salary
Pension contributions are one of the most effective ways to reduce your tax burden while securing your financial future. When you contribute to a pension, you receive tax relief, meaning you don't pay income tax on the money you put in.
Salary Sacrifice schemes are particularly powerful because contributions are deducted before both income tax and National Insurance are calculated, giving you maximum savings. Auto-enrolment pensions still provide income tax relief, but you'll pay National Insurance on the full amount.
The higher your tax rate, the more you save. Higher-rate taxpayers (40%) save £40 for every £100 contributed, while additional-rate taxpayers (45%) save £45. Use this calculator to find your optimal contribution level and see how much you could save.