Most British workers understand payslips but struggle with tax and pensions – PayFit

British workers were the most confident in Europe when it came to understanding their payslip, according to research from PayFit. 

Out of 1,950 workers surveyed, 73% of UK employees said they fully understood their payslip. 

Although the UK payroll system was seen as simpler, a quarter of British workers still struggled with tax deductions. 

Pension contributions were confusing for 19%, and 18% said they worried about not spotting underpayments.

Firmin Zocchetto, co-founder and chief executive officer at PayFit, said: “When workers don’t understand their payslip, they’re left second-guessing whether they’ve been paid correctly, what’s gone into their pension, or how much tax they’re actually paying. 

“This level of uncertainty can stall decisions – whether that’s applying for a mortgage, or simply figuring out if they can afford to book a holiday.

“Add evolving pension rules and warnings of tax hikes in this year’s Autumn budget, not only are we seeing employees face more complexity than ever, many are still relying on HR teams to interpret the basics.”

Despite difficulties, 94% of UK workers said they trusted their payslip was accurate.