Salary sacrifice is giving up part of your salary to pay for something that might be offered by your workplace.
This will reduce your pensionable pay as the amount sacrificed or used to pay for the items, is taken directly from your pay before pension contributions are calculated.
Pension contributions are only paid on the remaining amount after the salary sacrifice amount has been deducted.
For members of the 2015 Scheme, a reduction in gross pensionable pay will have a negative effect on the amount of pension built up in that year. The overall effect from taking any salary sacrifice would reduce the amount of final benefits earned.
Salary deduction schemes
Some NHS employers offer salary deduction schemes as an alternative to salary sacrifice.
The payments are taken from your salary after other deductions such as pension contributions.
The payments would be pensionable and included in your pensionable pay when calculating your pension contributions.
If you're not sure if the deductions have been made from your gross pay or the net pay after deductions, you must check with your payroll department.