What is employer matching?
When you pay into your workplace pension, your employer pays an amount into it too. This amount will be the equivalent of 3% of your salary.
Some employers encourage their staff to pay more than the minimum amount into their pension by offering additional employer contributions when they do.
Sometimes, employers agree to match additional contributions up to a percentage of their employees’ salary. This is known as ‘employer matching’.
For example, if you pay an additional £100 of pre-tax salary into your pension, your employer pays an extra £100 into it.
This means that when you choose to pay more into your pension, your contributions are doubled. So you’ll be putting away even more money for future you!