Hello Andrea, 

Thank you for your post. 

AVC is additional voluntary contribution, if an employee wants to make an additional contribution for the rest of the year or even just for one pay period you can increase that if the pension provider allows it on the scheme you have. It could either be a percentage or by a fixed amount, it doesn't usually qualify for tax relief if your scheme does.

APC is where you can increase the annual amount of pension you can put in, so there can be a cap on some pensions but this means that they could increase that cap by putting in a lump sum or by doing it in different pay periods.

 They are very similar but AVC is adding additional pension to an extra pot of the pension where as APC is adding to the same pot of the pension. So AVC doesn't always get the benefits (tax relief, deduct before tax, salary sacrifice) but APC allow the increase with (those) benefits included. 

I hope this helps, let me know if it does by selecting Verify Answer. 

Thanks, 

Keegan 

Sage UKI 

Hello Andrea, 

Thank you for your post. 

AVC is additional voluntary contribution, if an employee wants to make an additional contribution for the rest of the year or even just for one pay period you can increase that if the pension provider allows it on the scheme you have. It could either be a percentage or by a fixed amount, it doesn't usually qualify for tax relief if your scheme does.

APC is where you can increase the annual amount of pension you can put in, so there can be a cap on some pensions but this means that they could increase that cap by putting in a lump sum or by doing it in different pay periods.

 They are very similar but AVC is adding additional pension to an extra pot of the pension where as APC is adding to the same pot of the pension. So AVC doesn't always get the benefits (tax relief, deduct before tax, salary sacrifice) but APC allow the increase with (those) benefits included. 

I hope this helps, let me know if it does by selecting Verify Answer. 

Thanks, 

Keegan 

Sage UKI