Smarter Contributions pension

[vrsmxtb]

Can anyone with any knowledge of the pension system comment on the smarter contributions scheme of paying? My employer is changing to this next month, it all sounds a no brainer but wondered if there's any negatives they're not telling me. Basically they pay your pension before they pay you, resulting in less National Insurance and marginally higher take home pay. Your base salary remains unchanged for calculating benefits / profitshares etc.

[vrsmxtb]

Ginge R said:

It isn't their job to tell you, in fairness. Look out for drops in how your estate is protected in respect of death benefits. It is usual to find any lump sum payable on death to be a multiple of one's salary, in which case salary sacrifice would reduce that payment. Check too, how a lower salary might affect entitlement to various state benefits and your ability to borrow money.

The way it's worded in the info booklet I got, your base salary figure doesn't decrease in terms of what it has been declared at for use calculating the things you mention. Ok, seems a no brainer then.