6th February 2024
The Pension Support Service for NHS employers
We recognise that recruitment and retention of staff are paramount concerns for NHS bodies. Ensuring that your team fully comprehends the significance of their NHS Pension benefits is key to meeting these priorities. That’s why we offer a dedicated Pension Support Service designed to demystify the complexities of pension calculations, benefits and payments.
In conjunction with our sister company, AVC Wise, we provide a tailored portfolio of educational resources that cater to the diverse needs of your workforce. From fundamental NHS pension updates to personalised one-to-one support addressing annual allowance rules and pension recycling, PSTAX is your trusted resource. Our expertise extends to facilitating Additional Voluntary Contributions (AVCs) through salary sacrifice, presenting a substantial employee benefit.
One-Stop Pension Support
NHS bodies are grappling with a shortage of staff resources, leaving little room for additional training and support initiatives deemed non-essential. Unfortunately, pension education often falls victim to these constraints, exacerbated by the absence of dedicated personnel from investment providers.
Understanding this challenge, PSTAX, is proud to offer a comprehensive ‘one-stop’ suite of education and related services. This holistic approach is designed to alleviate the burden on NHS bodies and provide valuable support to their staff. We’re here to ensure that your team receives the crucial support they need, all under one roof.
This suite comprises:
A full pathway to pension education, salary sacrifice AVCs and the introduction of pension recycling for staff who are susceptible to breaches of the annual allowance rules, our comprehensive support includes:
- a risk/benefit analysis,
- the drafting of all scheme documentation,
- paper for the Remuneration Committee to approve,
- workshops for all staff identified as at-risk,
- a calculator to evidence the requirement for recycling, and
- advice/support for payroll to ensure that the NHS body remains in a cost-neutral position.
The facility for staff to sacrifice salary and receive contributions into their AVC ‘pot’, including the employer NHS pension saving. This strategic arrangement not only optimises employment tax efficiency but also grants staff an extra advantage – redirecting their saved employee NICs back into their AVC pot for maximum financial benefit.
A wealth of valuable insights through our extensive array of high-quality NHS Pension workshops. These sessions cover a diverse range of topics, catering to the needs of staff across all age groups and grades, ensuring that every member of your team can derive maximum benefit.
All of this at no cost to the NHS
Our fees for the above services are designed to ensure cost neutrality or, in the case of salary sacrifice, a cost-positive position.
Pension recycling is an invaluable service to offer higher-paid staff who may be at risk of breaching the annual allowance rules. The reason for exiting the pension scheme must be that there would otherwise be a breach.
In these cases, NHS employers save employer pension contributions, and the savings are ‘recycled’ as payments to the staff member concerned. However, the employer should reduce the recycled payments to account for any professional/administrative costs involved in scheme implementation. Hence our costs are effectively borne by the staff member who has opted out of the NHS pension scheme. No other professional fees are charged.
Where an employee elects to sacrifice salary, the employer benefits from an employer NIC saving, currently 13.8% of the reduced salary. Our charges are payable from this saving, so the NHS body will always be better off from scheme implementation.
Our sister company, AVC Wise, has been providing the facility for salary sacrifice of AVCs since 2018 and provides the service to over 200 Partners across the public sector.
The best way for PSTAX and AVC Wise to make your staff aware of these pension opportunities is through education workshops. Hence these are part of our commercial offering. Believe it or not, based on recent testimonials/feedback, our expert presenters can make pensions a straightforward and interesting topic! Our regular sessions will also help retain and increase the number of staff taking up NHS Pension. And all of this comes, effectively, at no cost to you.
Why choose PSTAX?
This service is unique to PSTAX and its support network. No other provider has a track record of facilitating salary sacrifice for AVCs and no other pension education service is available on a no-cost basis.
PSTAX is the leading provider of tax services dedicated to the public sector, working with over 300 public bodies.