Salary Sacrifice: Strategies to Reduce Your NIC Burden in 2025

As April 2025 approaches, UK businesses are preparing for significant changes to National Insurance Contributions (NICs) that will increase payroll costs. While these changes may seem challenging, there’s a silver lining: strategic use of salary sacrifice arrangements can help businesses manage their NIC burden effectively.

This guide explains how salary sacrifice works, its benefits, and how your business can leverage it to stay compliant and cost-efficient.