Salary sacrifice into a pension

Giving up salary for an employer contribution saves income tax, USC and employee PRSI.

With a formal salary sacrifice, your contract salary goes down and your employer pays the difference into your pension. Because it's an employer contribution, no income tax, USC or employee PRSI is due on it. A personal contribution only saves income tax.

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Terms: Salary sacrifice into a pension · Employer pension contribution

All payslip topics · General information, not tax advice.