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Look beyond your salary
Your employment contract should outline your overall benefits package but it is also worth logging into your company’s intranet or benefits portal. You should find more details there, or speak to your HR department for a breakdown of your entitlements.
Some of them will be optional and could include “pension contributions, salary sacrifice benefits to afford home tech or a new bike, interest-free season ticket loans, and more,” says Katie Vye, the head of the workplace financial education provider Better with Money. “Employee benefits can ultimately cut your everyday costs and boost tax-efficient savings.”
Many employers use third-party workplace benefit providers such as Reward Gateway, Pluxee, and Perkbox Vivup. Perkbox Vivup, for example, was recently offering more than 800 discounts to employees of a UK council, including £280 off groceries, 32% off cinema tickets, half-price hotels and big savings on days out.
Max your pension
Check whether you are maximising your employer’s contributions into your fund. Some employers pay a fixed percentage, while others offer tiered schemes, in which their contributions rise if you increase yours.
Even small increases can add up over time, especially if your employer matches them. For example, a 22-year-old earning £24,000 a year and contributing 8% of their salary to a pension, combined from employee and employer contributions, plus tax relief, could build a pot worth £468,064 by the age of 67, according to Clare Moffat, a pensions and legal expert at the insurance group Royal London. That is assuming the pension grows an average of 5% a year after charges, and annual pay rises of 2.5%.
“But if the employee contributes an extra 2%, and the employer matches it, that’s 12% of salary going in. At retirement, the pot could grow to £702,096, an extra £234,032,” Moffat adds.
Some employers also offer pension salary sacrifice, whereby part of your pay is contributed to your scheme before tax and national insurance (NI) are deducted. This lowers your taxable income and can increase your pension savings and take-home pay.
“Salary sacrifice is a great perk,” says Tom Selby, the director of public policy at the investment platform AJ Bell. “You get immediate tax relief and pay less NI. Some employers pass on their own NI savings to boost your pot further.”
Bear in mind, though, that salary sacrifice reduces your official pay, which could affect any future redundancy payments, parental leave, mortgage applications or eligibility for some benefits.
Save on train travel …
If you travel to work regularly by public transport, an interest-free season ticket loan could save you hundreds of pounds. Rather than buying monthly or weekly tickets, you borrow the cost of an annual pass from your employer and repay it from your salary in instalments. Although it is a particularly popular perk in London because of the high price of travel, many employers across the UK offer this benefit to help manage the costs of commuting.
You may, say, buy 12 months’ travel for the price of 10 or 11, depending on the deal. For example, a zone 1–4 London travel card costs £2,568 a year. Paying monthly at the current rate of £246.60 adds up to £2,959.20 over the year, meaning the annual card saves you about £391.
“Commuters often stick to more expensive short-term tickets because they can’t afford the upfront cost of an annual pass. If your employer offers a season ticket loan, you can spread the cost monthly while still getting the full-year discount,” says Catherine Bennett, the general manager at the employer development platform Access Engage.
… or with bike and car schemes
The cycle to work scheme lets you buy a bike and accessories through your employer, paying for it monthly via salary sacrifice. This spreads the cost and saves you tax and NI typically equivalent to up to 42% of what you have spent on the bike and gear, depending on your income.
Offered by more than 40,000 employers in the UK, the scheme now includes e-bikes and high-end bicycle models, as the old £1,000 cap has been lifted. Most agreements last 12 to 18 months. You get the bike upfront and at the end of the term, you can usually keep it for a small fee or by extending the hire period.
The cycle to work scheme can be a bit complicated but the Cycling UK website has a guide to how it works.
Salary sacrifice car schemes let you lease an electric car through your employer. Again, the payments are taken from your gross salary, reducing your taxable income. According to Tusker, the UK’s leading provider of salary sacrifice car benefit schemes, the average tax and NI saving for EV orders in 2025 is about £300 a month.
Look for care benefits
Employee assistance programmes offer confidential help with a range of issues, from counselling for personal or family problems to advice on legal, health or workplace matters. Some also include wellbeing perks such as subscriptions to meditation apps such as Headspace or occasional free massages.
Some employers also provide free or discounted health checkups, eye tests, dental care, physiotherapy or health cash plans – a type of health insurance policy – to help cover everyday medical costs. These benefits vary, so it is worth checking what’s included in your package.
Family care is another growing area of support. Perkbox Vivup, for example, offers access to networks of childcare, elderly person care and pet care providers, along with specialist helplines.
Get a discount
See whether you have access to discounts on everything from everyday expenses to clothes and holidays through an employee portal. For example, Pluxee offers up to 15% cashback at more than 80 retailers and up to 20% off holidays and other treats.
If your employer signs up to the corporate wellness platform Wellhub, you pay a monthly subscription from about £7 for discounted access to gyms, studios and wellness apps. Pluxee offers discounts on more than 3,000 gyms, boot camps and digital fitness programmes.
Tech purchase schemes let employees buy gadgets at a discount via salary sacrifice. While you no longer get income tax relief, you can still save on NI and spread the cost interest-free. The repayments are taken from your salary after tax but before NI is calculated.
A MacBook worth £1,299, for example, could cost about £1,195, paid in monthly instalments over two years. Some employers also offer discounts or throw in extras such as extended warranty or insurance.
Don’t overlook insurance
Some workplace insurance benefits fly under the radar but they could make a big difference if something goes wrong. For example, many workplaces give employees life insurance, which pays out a lump sum if you die during your employment. You may not need to sign up but you do need to nominate a beneficiary. Without this, the payout could be delayed or go to your estate.
Income protection is another benefit you may be offered, although it is not always automatic. It pays up to 80% of your salary if illness or injury stops you working for a set period, usually after a three- or six-month waiting time. You may need to opt in, choose the deferral period, or confirm eligibility during your annual benefits enrolment.
“One of the main advantages of getting insurance through work is that there’s often minimal underwriting,” says Kevin Carr, the chief executive of Protection Review, a website that reviews the protection insurance industry.
“Because you’re in employment, the insurer assumes you’re in good health, so there are no lengthy forms or medical checks. But if you leave your job, you’ll lose the cover, so having a personal policy alongside it can be wise.”
Private medical insurance is another perk you may need to activate. It could give you access to faster diagnosis and treatment, including virtual GP services, but you will usually need to register to use it.
