The general rule for pension contributions and NIC relief is that there is none. NIC is payable on employment income and self-employment profits 'before' deductions for personal pensions.

This is potentially a costly exercise with both Employers and Employees NIC payments often falling due and many people are caught out by this.

It is however possible to claim NIC relief on pension contributions where the Employer makes the payment direct to the pension scheme on behalf of the employee. This is normally associated with Salary Sacrifice ie to give up salary for this pension contribution.

When the Employer makes this pension contribution direct on your behalf it attracts full NIC relief for the Employer and for the Employee.

So when you next plan to make a pension contribution, think first who is making the payment and what NIC relief is available.

• France
• Malta
• Spain
• United Kingdom

Add your email below if you want us to keep in touch with you - not a lot just occasionally - so you don't forget who we are and perhaps we can help you with advice on any tax problems that arise.

Enter your email to keep informed:

We are always delighted to speak with new potential clients so don't be bashful, a quick email or telephone conversation with us may make your day! Contact us...