Auto Enrolment – Are you prepared!
Under Pension Act 2008 legislation with the snappy title of auto enrolment every employer must place certain staff into a pension scheme and contribute towards it. Many small businesses are ignoring their responsibilities to provide pension schemes for their employees, risking the potential of a fine which even for a small employer could be as much as £500 per day.
Here is a checklist to help you through the auto enrolment process.
- Check your staging date this will have been issued to all PAYE registered businesses by the Pensions Regulator.
- Confirm and understand the definition “certain employee”
- Check if your current plan complies with new regulations
- Review providers available that comply
- Engage with your payroll provider
- Prepare staff communications
It is the Employer’s responsibility to organise the set-up of an appropriate pension scheme with a chosen provider. All eligible employees will automatically be enrolled into the scheme. It is the employee’s choice as to whether they remain or opt out!
For details of how a scheme can be set-up, what are qualifying employees and what your reporting requirements are please contact firstname.lastname@example.org.