Payroll salary sacrifice scenario calculator

Calculate illustrative take-home reduction and illustrative benefit value with your own figures.

Your numbers

Use the units shown. Results update as you change valid inputs.

Choose the currency for these amounts. Changing it keeps your numbers and does not convert exchange rates.

Use illustrative take-home reduction and illustrative benefit value to compare changes to your inputs. The method and limits below explain the scope.

Examples

Examples

Try the starting example

Gross pay before sacrifice (USD)
50000
Salary sacrifice (USD)
3000
Supplied flat marginal deduction fraction (0–1)
0.3
Employer benefit value per sacrificed currency
1.05
Illustrative take-home reduction (USD)
$2,100.00
Illustrative benefit value (USD)
$3,150.00
Illustrative combined change (USD)
$1,050.00

Try another scenario

Gross pay before sacrifice (USD)
50000
Salary sacrifice (USD)
5000
Supplied flat marginal deduction fraction (0–1)
0.3
Employer benefit value per sacrificed currency
1.05
Illustrative take-home reduction (USD)
$3,500.00
Illustrative benefit value (USD)
$5,250.00
Illustrative combined change (USD)
$1,750.00
Calculation method

Calculation method

Illustrative take-home reduction (USD)

b*(1-c)

Illustrative benefit value (USD)

b*d

Illustrative combined change (USD)

b*d-b*(1-c)

Symbols and units
a
Gross pay before sacrifice (USD)
b
Salary sacrifice (USD)
c
Supplied flat marginal deduction fraction (0–1)
d
Employer benefit value per sacrificed currency

Use the units shown. A list keeps the order in which you enter its values. The symbol ^ means “raised to the power of”.

Assumptions & limits

Assumptions & limits

  • Constant user-supplied marginal deduction model only; sacrifice ≤gross pay and fraction ≤1. No tax bands, current tax law or benefit qualification inferred. Supported limits: All numeric inputs must be finite. Only the explicitly described mathematical scenario is supported.
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