Contribute to NEST

Contributing to your retirement pot

Contributing to your retirement pot is easy. If you've been automatically enrolled, your contributions will be paid in by your employer from your salary or wages. They'll also make their own contributions directly to your retirement pot.

If you've asked your employer to enrol you, your contributions will still be paid in automatically. Your employer could choose to contribute as well, even if they're not required to.

Don't forget you can see exactly what's going into your retirement pot by logging in to your online account.

Who can contribute?

You - if you've been automatically enrolled you'll have to make a minimum contribution to your retirement pot from your earnings. Your employer can choose to cover this minimum payment and you can pay in more if you want to.

If you've asked to be enrolled, you'll also have to make a minimum contribution.

Your employer - if you've been automatically enrolled, your employer will need to make a minimum contribution. They can choose to pay your share as well.

If you've asked to be enrolled, your employer may or may not have to make a contribution, depending on your circumstances.

The government - NEST claims basic rate tax from the government on the money you added to your retirement pot. This is called tax relief.

Other people - as well as the three categories above, other people such as your spouse or partner can also make contributions to your retirement pot.

How much do you need to contribute?

If you're being made a member of NEST before the employer duties start to apply, your employer will tell you how much you need to contribute to your pot.

The minimum contribution will be introduced gradually and will rise to 8 per cent of qualifying earnings.

These minimum amounts won’t apply if you join as a self-employed person, single-person director or a worker without qualifying earnings.

Contributing more

The best way to grow your retirement pot is to contribute regularly throughout your working life.

The more you contribute, the bigger your retirement income could be. If you can, it’s worth thinking about paying in more. Your employer could choose to pay more in too.

NEST has an annual contribution limit on how much can be paid into a member’s retirement pot in one tax year. It includes your contributions, money from your employer and tax relief. It also includes any money your partner or spouse, for example, chooses to pay in.

This limit is £4,400† for the 2012/2013 tax year but it will be reviewed each year and is likely to increase.