holiday bonus

Joanne,

Not sure what is being asked for here. I am assuming it is a cash payment in which case it will be taxable and NICable as usual. The problem is often over the fact that the payment is made on top of other pay and generally gets heavily NIC'd but there is nothing payroll can do about that.

As far as pension is concerned the answer is "it depends". The employer will have a pension scheme and the rules of the scheme will determine what the pension treatment will be. Some schemes will ignore it whilst others will treat it is pensionabe pay. For personal pensions it is allowable because they are based on taxable pay.