Nest pension contributions

[Paddingtonthebear]

I have been auto enrolled into a Nest workplace pension which is based around the basic 5% contribution from me and 3% from employer. I understand the employer can’t/won’t increase their percentage but I would like to increase mine. I haven’t managed to get through to Nest customer service today to ask. What is the best way of increasing my contributions?

By upping the percentage directly from my salary (would I need to ask my employer or Nest to do this for me?). or is it better to set up a direct debit to add regular contributions (this appears to be an option when I logged in online). I’d basically like to put in £100 a month starting next month. I assume the best way to do this is to do it directly from my salary as an increased percentage, it seems Nest charge a small amount per transaction to top up extra by direct debit on a regular basis.

You can setup monthly contributions via direct debit.

• Click on Contributions - Click on Regular Additional Contributions

You can do a one off payment via debit card.

• Click on Contributions - Click on Single Additional Contribution

If your employer is doing a Salary Sacrifice scheme then ask them/HR to increase your contribution. If your employer is not doing Salary Sacrifice then you can do the additional contributions yourself as above.

Nest does not charge any extra for paying by debit card or direct debit. They do have fees though which are taken from contributions made, regardless of if coming via payroll or via card/direct debit and these can be more than paying into a different pension plan such as a SIPP. Though a SIPP may have more fees when it comes to drawing on the pension at retirement.