Cut Your
National Insurance
Save on rising employer National Insurance costs. See how salary sacrifice can offset April 2025’s tax increase and reduce payroll expenses.
National Insurance Costs Are Rising
From April 2025, higher rates and lower thresholds mean increased costs for employers. Discover how salary sacrifice can help you save.
Employer NI contributions will increase from 13.8% to 15%.
The NI threshold will drop from £9,100 to £5,000 per employee.
Employers will pay £900 more per year for a median-salary employee.
These changes could cost your business thousands in additional tax — but salary sacrifice can help offset the impact.
A Smart Solution:
Salary Sacrifice
Reduce payroll costs and boost employee benefits with a tax-efficient solution.
How Salary Sacrifice Works
Salary sacrifice lets employees exchange part of their gross salary for non-cash benefits, like pension contributions.
The result?
This reduces taxable income, lowering National Insurance costs for both employers and employees.
Example Savings
A business with 50 employees could save up to £17,250 annually on National Insurance contributions.
Benefits For Employers
Lower National Insurance contributions.
Reduced payroll costs. Attract and retain top talent with a competitive benefits package.
Benefits For Employees
Reduced taxable income. Higher pension contributions.
Articles & News
Mitigate the upcoming NIC increases by implementing salary sacrifice schemes beyond pensions
Read how National Insurance changes in 2025 meaning employers are facing rising costs
Learn how this government-backed scheme can save your business thousands.
How Penfold Makes Salary Sacrifice easy
From setup to savings, Penfold handle it all so you can focus on running your business:
Step 1 – Free Consultation:
Penfold’s experts assess your business needs and create a tailored salary sacrifice plan.
Step 2 – Seamless Setup:
Penfold handle the admin, from contracts to payroll integration, ensuring compliance every step of the way.
Step 3 – Ongoing Support:
Penfold provide guidance, compliance checks, and reporting to keep things running smoothly.
Empowering UK businesses to navigate rising National Insurance costs with clarity and confidence. Cut through the noise and save money.