Another straightforward idea, but this time is available to all employees. Here an employee gives up their right to an element of their gross taxable/nicable pay and instead receives an alternative benefit as part of their employment package.
Salary Sacrifice (sometimes called Salary Exchange) may at its simplest be in respect of one element e.g. Pension Contributions/Childcare or at its most complex as part of a Flexible Benefit scheme.
Unfortunately, the Inland Revenue do not give any pre-transaction advice or clearance in respect of salary sacrifice schemes
Once again as with all tax/NI planning ideas- the devil is in the detail and as such all documentation needs to be complete and correct to ensure that at some future date the Inland Revenue do not successfully challenge the arrangement and seek to recover underpaid PAYE/NI.