Each year, PCSE requests an estimate of pensionable profits from GP practices. This includes anticipated pensionable earnings for GP partners, non‑GP partners, and salaried GPs.
For 2026/27, these estimates were due by 28 February 2026, enabling PCSE to update contract statements from April 2026. The information provided helps to ensure pension contributions are deducted accurately throughout the year and minimises the risk of large balancing adjustments being required once pension certificates are processed.
The estimated pensionable pay figure should also include any pensionable earnings outside of the practice, such as GP solo and locum income, to ensure that the correct employee’s superannuation tier rate is applied.
Why is it important to check figures?
Incorrect deductions may lead to significant balancing adjustments at a later date, which can create cashflow issues for practices.
Tax relief is given on superannuation contributions in the tax year in which they are paid, not the year to which the contributions relate. If deductions are incorrect, an individual’s tax position may also be affected.
How to check deductions
The monthly contract statement should show 1/12 of the total annual deductions. When the monthly statement is received, the contributions taken for each individual should be checked against the estimated pensionable pay figure submitted.
Example based on pensionable pay of £100,000
Employee superannuation – £100,000 x 12.5% (tier rate) = £12,500 / 12 months = £1,041.67 per month
Employer superannuation – £100,000 x 14.38% (tier rate) = £14,380/ 12 months = £1,198.33 per month
For individuals who have changed roles between GP partner and salaried GP, it is important to check that deductions have been taken under the correct income type.
On PCSE contribution statements:
- GP partners will show contributions as ‘Profit share’
- Salaried GPs will show contributions as ‘Monthly salary’
What to do if deductions or details are incorrect
If deductions appear to be incorrect, you can:
- Access the estimated pay details submitted via PCSE Online and update them to ensure they match the figures originally provided, or
- Raise a query with PCSE Online https://pcse.england.nhs.uk/contact-us and ask them to review the position.
If an individual’s status is incorrect, the individual must review their details on the PCSE Online performers list. Any incorrect information must be updated, and the necessary authorisations must be completed by the practice and/or PCSE. Pensionable pay estimates may then need to be resubmitted under the correct status.
If the status is correct but deductions have been taken under the wrong income type, a query should be raised with PCSE Online requesting the error be corrected.
Summary
Ensure that monthly statements are regularly checked and reconciled with the submitted pensionable pay estimates.
Any discrepancies should be followed up promptly via PCSE Online to ensure records are corrected within the tax year and tax relief is obtained as soon as possible.
For more information, please contact our Healthcare team here.
This material is for informational purposes only and should not be relied upon as professional advice.
