Introduction to Friends Life Pension Deductions

Friends Life permits employers to calculate pension deductions based on a percentage of Qualifying Earnings or Certified Earnings.

The tax basis of the pension deduction can be via Salary Exchange (also known as Salary Sacrifice) or Employee Net Contributions.

In this section:

• Salary Exchange (Salary Sacrifice) pension - based on Qualifying Earnings

• Employee Net Contribution - based on Qualifying Earnings

• Salary Exchange (Salary Sacrifice) pension - based on Qualifying Earnings

• Employee Net Contribution - based on Certified Earnings