UK reward metrics · Pensions & Savings

On what earnings basis are pension contributions calculated (qualifying earnings vs full/basic pay)?

Source lumi HRBase 263 organisationsFieldwork 2026 H1

45.6%Qualifying earnings (band)

45.6% of organisations in the lumi HR community answered “Qualifying earnings (band)” on earnings basis for pension contributions (base: 263 UK organisations, 2026 H1).

Figures describe organisations in the lumi HR community, not a random sample of UK employers.

How UK organisations answered

Qualifying earnings (band) 45.6% Basic pay 37.6% Total/full pay 16.7%
Earnings basis for pension contributions (base: 263 organisations, 2026 H1). Percentages percentages may not sum to 100 because of rounding.
Earnings basis for pension contributions: share of organisations by answer
AnswerShare of organisations
Qualifying earnings (band)common45.6%
Basic payalternative37.6%
Total/full payrare16.7%

Common, alternative and rare describe how each answer sits against the community: the most chosen answer is common; an answer chosen by fewer than one in five organisations is rare.

Definition

The earnings definition used to calculate pension contributions (banded qualifying earnings, basic pay, or total pay), which affects contribution value. See the methodology for how the base is built, how not-applicable answers are handled, the public floor, and which organisations are excluded.

Cite this figure
Source: lumi HR, UK Reward Metrics, September 2026, lumihr.co.uk/metrics/earnings-basis-for-pension-contributions
Last updated 19 September 2026 · Data licence: CC BY 4.0 for the figures in the CSV download.

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