What are Paystream talking about here with this 'free' 12.5% for SIPP contribs?

[lucyclarityumbrella]

As you all know there is no favour being passed on, there are two things, the ERS Saving is either being passed to the pension OR is reducing your ERS NI on the payroll and effectively being paid out to you as part of the salary - so depends on how the umbrella is approaching it - and IF they are passing this saving on to you.

[BobbyD]

As you all know there is no favour being passed on, there are two things, the ERS Saving is either being passed to the pension OR is reducing your ERS NI on the payroll and effectively being paid out to you as part of the salary - so depends on how the umbrella is approaching it - and IF they are passing this saving on to you.

Exactly, so why do umbrellas constantly make out that they’re being extra kind by “passing the saving on to you”… That Parasol can even keep a portion of this is and STILL make out they’re doing you a favour by ‘giving you an extra 10%’ is disgusting, but I’d go as for as to call it legalised theft.

it makes me so angry that they make out that somehow, it is actually them paying the Employers NI. Either they believe this or they’re treating us like utter idiots.

[lucyclarityumbrella]

When I sacrifice some of my rate into my pension I calculate it by deducting it from my full day rate. But the umbrella companies seem to make out they’re doing you a favour by returning the employer NIC to you.

TBF it's not all brollies, we do exactly as you state taking the pension from the day rate and thus reducing all tax and NI , no favours per-se it is your benefit and you see that through our payroll.