NHS Pension contributions explained
If you work for the NHS in England or Wales, you pay between 5.2% and 12.5% of your pay into the NHS Pension Scheme, depending on how much you earn. Your employer pays in another 23.7% on top. Here's how it works for 2026/27.
Contribution rates for 2026/27
From 1 April 2026, your rate depends on your actual yearly pensionable pay:
| Yearly pensionable pay | You pay |
|---|---|
| Up to £13,259 | 5.2% |
| £13,260 to £28,854 | 6.5% |
| £28,855 to £35,155 | 8.3% |
| £35,156 to £52,778 | 9.8% |
| £52,779 to £67,668 | 10.7% |
| £67,669 and above | 12.5% |
Your rate applies to all your pensionable pay, not just the part above a threshold. So moving into a higher tier increases your contribution on every pound. If you're part-time, your tier is set by what you actually earn, not the full-time equivalent, which often puts part-time staff on a lower rate. If your pay changes during the year so that you move tier, your employer changes your rate.
What your employer adds
On top of your salary, your employer pays 23.7% of your pensionable pay into the scheme. For most NHS staff that's more than double what they pay themselves. It's one of the reasons the NHS Pension is valuable, and it's money you give up if you opt out.
What it really costs you
NHS Pension contributions are taken from your pay before income tax, so you get tax relief straight away at your highest rate. They're not taken before National Insurance. Two examples for 2026/27, full time, outside London:
| Band 5 entry | Band 8a top | |
|---|---|---|
| Pensionable pay | £32,073 | £64,750 |
| Your contribution rate | 8.3% | 10.7% |
| You pay in a year | £2,662.06 | £6,928.25 |
| Less income tax you save | −£532.41 | −£2,771.30 |
| Cost to your take-home pay | £2,129.65 | £4,156.95 |
| Your employer adds | £7,601.30 | £15,345.75 |
| Total going into your pension | £10,263.36 | £22,274.00 |
At Band 5 entry, every £1 that comes out of your take-home pay puts about £4.82 into your pension.
One thing to watch: because contributions come off before tax, you only get tax relief if you pay income tax. If your NHS earnings are within your £12,570 tax-free allowance, you may not get relief through payroll.
What counts as pensionable pay
According to NHS Pensions:
- Counts: your basic pay, London weighting (the High Cost Area Supplement) whether you're full time or part time, and paid sick leave.
- Counts if you're part-time: extra hours up to the full-time week, at your basic rate. Enhancements such as time and a half on those hours don't count.
- Counts with a rota commitment: on-call availability payments.
- Doesn't count: overtime above full-time hours, overtime enhancements, one-off bonuses, expenses, and non-consolidated pay awards.
For anything else, such as unsocial hours payments, check your payslip, which shows which payments are pensionable, or ask your payroll team.
Before you opt out
Opting out raises your take-home pay. But you lose your employer's 23.7%, and the tax relief, and you stop building up NHS Pension benefits for that time. In the Band 5 example above, opting out would add £2,129.65 a year to your take-home, but £10,263.36 a year would stop going into your pension. If money is tight, it's worth speaking to your pensions team before deciding.
Scotland and Northern Ireland
This guide covers the NHS Pension Scheme for England and Wales. NHS staff in Scotland and Northern Ireland are in separate schemes with their own contribution rates.
See your own NHS take-home pay and pension.
Open the NHS calculatorSources
- NHS Employers: NHS Pension Scheme member contributions (2026/27 tiers and 23.7% employer rate)
- NHSBSA: Membership, contributions and pay
- NHSBSA: Pensionable pay factsheet (Word document)
- GOV.UK: NHS Pension Scheme member contributions, government response (tax relief through net pay)