PayBreakdown - Salary Calculator & Budget Manager
Relief at source vs net pay pension
Relief at source, net pay, and salary sacrifice pension methods can affect tax, NI, and take-home pay in different ways.
What this page helps with
Relief at source usually takes pension from net pay and adds basic-rate tax relief into the pension. Net pay usually reduces taxable pay before income tax. Salary sacrifice can reduce contractual pay before tax and NI calculations.
Official sources
Income Tax rates and Personal AllowancesNational Insurance rates and categoriesStudent loan repayment thresholdsPension tax reliefNational Minimum Wage and National Living Wage ratesStatutory Maternity Pay and LeaveStatutory Sick PayFCA guidance on misleading financial promotionsOff-payroll working and IR35 guidanceUnderstanding off-payroll workingSalary sacrifice for employersNHS Employers pay scales 2026/27NHS Health Careers Agenda for Change pay ratesLast updated 2026-05-07. Planning estimates only. Not financial advice.