What Is a Payroll Saving Scheme?
We all know that saving money is a good idea. The tricky part is finding something left over at the end of the month to actually save.
A payroll saving scheme makes saving easier by allowing employees to save directly from their salary.
Instead of waiting until the end of the month to see what's left, you choose how much you'd like to save, and it is automatically deducted from your pay and put into your savings account.
How does payroll saving work?
The process is straightforward:
You choose how much to save → the amount is deducted from your salary → your employer passes it to the savings provider → your savings build up over time.
You don't need to remember to make a transfer each month, and even a small amount can add up over the years.
For example:
Saving £50 a month would give you £600 over a year.
After 5 years of saving, you'd have £3,000.
That’s before any interest or dividend that may apply to your savings.
That could help you build an emergency fund, save for a holiday, prepare for a larger expense or simply give you more breathing room when something unexpected comes along.
It can support employee wellbeing too
Payroll saving isn't just about building up money. It can also support financial wellbeing.
Money worries can take up a lot of headspace. Having a financial cushion can make unexpected expenses feel a little less daunting and give you another option when something doesn't go to plan.
If savings aren't enough to cover it, there’s also an option to borrow when you need to and repay through the same payroll process.
Knowing there's savings there if you need them can be one less thing to worry about.
What's in it for employers?
A payroll saving scheme can be a practical way to support your employees' financial wellbeing, without it costing your business anything.
Supporting your employees' financial wellbeing can help create:
A happier, healthier workforce by reducing some of the pressure that money worries can create
More motivated employees who feel supported by their employer
Improved productivity by helping employees feel less distracted by financial stress
Better employee retention by adding a valuable benefit to your workplace offering
Reduced absenteeism by helping employees feel more financially prepared and supported
And setting it up is simple. There’s no cost to your business, and very little admin for your HR or payroll team.
Once your scheme is up and running, your team simply sends us a payroll spreadsheet with the agreed deductions. It takes around five minutes to send, and we take care of the rest.
Your employees get an easier way to save. You get a useful, free benefit that supports your people.
Are you an employer interested in setting up a Payroll Saving Scheme?
Read the full benefits brochure or book a 15 minute call with our team to find out more.
How do I join a payroll saving scheme?
Already have a scheme at work?
Speak to your HR or payroll team to find out which provider your employer works with and how to join.
Your employer works with Plane Saver?
You can sign up directly through our website. Once you've joined, we'll contact your employer to arrange your payroll deductions.
Your employer doesn't offer a scheme?
You can still join Plane Saver and set up a Direct Debit to leave your account on payday, giving you a similar automatic saving habit without using payroll.
You can also speak to your employer about introducing a payroll saving scheme for your workplace. It could be a simple way to make saving easier for your whole team.
