On 1 October 2012 the Government introduced legislation making it compulsory for all employers to enrol eligible workers into a qualifying workplace pension scheme and make contributions on their behalf. This is known as auto-enrolment.
Automatic enrolment means that, rather than having to actively choose to join a pension scheme, staff are put into one by their employer as a matter of course. If they don’t want to be in the pension scheme, they must actively choose to opt out. This is to encourage people to stay in pension saving.
Automatic enrolment duties come into force from your ‘staging date’. The Pensions Regulator will write to you at least 12 months in advance, but it’s a good idea to know when your staging date is as early as you can. You can find out your staging date by entering your PAYE reference here:
Whether you have one employee or 100 employees, auto enrolment places significant responsibilities on an employer and you’ll have new duties in relation to everyone working for you.
Through cost effective partnerships working with a local pension scheme provider (www.workerspensiontrust.co.uk) we can help you set up your scheme and prepare your ongoing payroll and pensions runs.
For further information on auto enrolment, please contact us.