Most UK employers must provide a pension arrangement for their employees. There's no getting away from it.

• If you employ anyone earning over about £6,150 a year, you may need to provide a workplace pension scheme and pay into it for them.

• If you have employees earning more than £10,000 a year, you will almost certainly need to provide a pension arrangement and pay into it for them.

• If you about to employ someone for the first time, you will need to check whether you need to provide them with a pension and if you do, set this up within a few weeks of them starting work.

• Even if you don't need a pension arrangement, you need to keep a record of the checks made and tell the Pensions Regulator.

So, what is pensions automatic enrolment?

 

Put simply, it is

the requirement for UK employers to operate a pension scheme for their workers, to join (enrol) their workers into this automatically and to pay money into this on their behalf.

But of course, it is not quite that simple!

 

Yes, it affects all employers.  If you employ anyone, even part-time for just a few hours per week, you will have 'automatic enrolment duties' from the date you first employ them.

 

But, this doesn't automatically mean that you will need to enrol them into a pension.

OK, I'm an employer, how am I affected and what do I need to do?

 

From the date you first employ a worker you need to follow a checklist of tasks:

• you must check whether your worker fits the eligibility for joining. 

• If they do, you must set up a qualifying workplace pension scheme 

• You must then join (enrol) the worker into the pension scheme and start paying contributions for them. 

• Finally, you then write to the worker telling them about how they are affected, whether or not they are being enrolled.

But it doesn't end there.  You need to follow your checklist every time you pay your worker and any new workers that you employ.

 

Simple, isn't it!

 

Actually, it is all a process - once you set up the process it's usually quite straightforward.  Most payroll software systems will carry out most of the process functions for you.

 

You can read more about the detail if you want to by clicking on the button below.

 

Learn More

When are you affected?

Auto-enrolment affects every UK business from the date they first employ someone.

• Make sure that you plan and prepare for this as part of your business plan if you think (or know) that you will be employing anyone.

• The Pensions Regulator is carrying out random spot checks and is fining employers who do not comply with their duties.

• The earlier you plan the easier it will be. But what if you've recently employed someone and have not done anything?

• If this was less than six weeks ago you can still comply.  We can help you to comply in as little as a day if necessary.

 

Already been through the process but concerned that you may not have done everything that you need to?  We can provide peace of mind by reviewing what you have done.

How we help you

 

Through our AE delivered service we will soothe your auto-enrolment headache.

 

For a fixed fee from £600, we will:

• provide a 'Quick Reference Guide' to auto-enrolment including a project plan and suggested timeline to help you to plan. There is no charge for this - download yours here

• show you how you will be affected, including the cost of paying contributions.

• help you to design, choose & implement and communicate your new qualifying workplace pension scheme 

• help you to make sure you have the necessary payroll processes in place 

• help you to inform the Pensions Regulator what you have done to comply with your duties 

Learn more