Auto Enrolment Factsheet...

Since October 2012 the Government has been putting into action their plans to ensure that individuals save towards their own retirement.  The burden of implementing this will fall on the employers. 

The Pensions Regulator suggests that it can take up to twelve months to prepare for Auto Enrolment. Are you ready?

Their letter is aimed to encourage you to consider your companies approach to auto-enrolment, and to formulate your plan of implementation as TPR’s guidance states that ‘you must be ready to start enrolling eligible staff from your staging date’.

As well as setting up a pension scheme, your company will be faced with ongoing duties, which include completing a declaration of compliance every 3 years, re-certifying the scheme every 18 months, and dealing with employee’s who decide to opt in and out of the scheme.

Employers who fail to meet their obligations will face penalties.
If, however, you are a sole director or your company comprises of only directors, i.e. there are no employees, there is no auto-enrolment requirement for you.

We at The Young Company would be delighted to assist you in reviewing your current arrangements and discussing ways in which we can be of support to you in the future.

Key Facts - What you need to do?

  • Know your staging date
  • Nominate a designated contact with The Pensions Regulator (TPR)
  • Assess your workforce
  • You are required to keep your staff informed of how these changes will affect them, and ask them whether they wish to opt in or out of the pension scheme...
  • Check that your software is compatible with the new requirements
  • Choose a Pension Scheme
  • Pay a 1% contribution for all eligible employees
  • Complete a declaration of compliance every 3 years
  • Re-certify the scheme every 18 months

 

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