Nearly one in ten (9%) employees do not understand everything on their payslip, according to research from the Institute of Payroll Professionals (IPP).
The IPP highlights the importance of workers reading their payslip every time they are paid to check whether all the information is correct, including national insurance (NI) contributions, tax, employee benefits and pension deductions.
Lindsay Melvin, chief executive of the IPP, said: “Organisations are legally required to provide their employees with an itemised payslip whenever they are paid, but it is surprising the number of people who do not understand them.
“Understanding all the details and figures in one’s payslip is the only way to be completely sure they are getting paid correctly. In reality, error rates are very low but knowing a payslip inside and out is the best way to be able to spot mistakes or miscalculations.
“This is particularly relevant with the growing number of organisations implementing e-payslips, by which employees may be even more confused because they are unfamiliar with a new format.”
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