The information below is provided in conjunction with The Pensions Regulator (TPR) website, and along with additional pensions & auto enrolment information, can be found HERE

  • What is automatic enrolment? The law on workplace pensions has changed. Under the Pensions Act 2008, every employer in the UK must put certain staff into a pension scheme and contribute towards it.  This is called ‘automatic enrolment’.
  • All new employers after 1st OCT 2017 – will not have a staging date but immediate duty start date. For info see HERE
  • I only have one member of staff and he or she doesn’t want to be in a pension scheme. Do I still need to comply? Yes – every employer with at least one member of staff will need to tell TPR how they have complied with their automatic enrolment duties by completing a declaration of compliance. If you only have one member of staff who needs to be put into a scheme, they’ll still need to be put into the scheme before they can ask to leave it.
  • What happens if an employee who I’ve put into a pension scheme earns less than £192 a week (£833 a month) in a future pay period? Once a member of staff has been put into a pension scheme, or has asked to join a scheme, they’ll remain a member of the scheme, whatever they earn, or until they choose to leave the scheme. In this case the scheme rules will say whether or not you will need to pay any money into the scheme.
  • How much will I have to pay into a pension scheme? The law sets a minimum level of contributions to be paid by an employer.
  • If I employ someone to provide me with care and support, will I need to put them into a pension scheme? If you directly employ one or more people to provide you with care and support, often called a personal assistant or a personal care assistant, you’re an employer and automatic enrolment duties will apply to you. This will be the case whether you use the money provided by your local authority or the NHS in the form of direct payments or a personal budget to pay your personal care assistant, or you use your own money.
  • If I have an employee who is on a temporary or fixed term contract do I have to put them into a pension scheme? If you employ staff whose hours vary, pay fluctuates, are seasonal or are on short-term / temporary contracts then the legal duties will apply to you. What duties you will have towards them will depend on their ages and earnings. From your duty date, you must work out who to put into a pension scheme based on their ages and how much they earn. Even if the number of people you employ varies, or they have fluctuating hours and pay, you must assess them individually each time you run your payroll.
  • My employee has a second job with a different employer; do I have to take this into account when assessing them? You only need to consider staff who are employed by you. Their earnings from another employer do not form part of your assessment.
  • If a member of staff’s earnings are less than or equal to £192 a week, must they be put into a pension scheme? If your member of staff’s earnings are less than or equal to £192 a week (£833 a month) you do not have to put them into a pension scheme that you pay into, unless they ask to join the scheme.
  • Can an employee who must be put into a pension scheme ask to leave the scheme before being put into one?  No. A member of staff must be put into a pension scheme first and have received information from the pension provider, before they can ask to leave the scheme.
  • How does my employee opt-out? After your employee is enrolled . NEST will write & or email the employee with login details as a NEST member. The employee can opt-out (within the 30 day opt-out period) online at NEST
  • What if my employee wants to stop the pension contributions & the opt-out period has now expired? The employee can ask to stop  pension contributions online at NEST
  • If my employee asks to leave a pension scheme, can they ask to join again? Yes. They must notify you in writing if they want to do so. However if the individual, within the previous 12 months, has already asked to join a pension scheme and subsequently stopped membership, you are not required to put them back into the scheme, although you can choose to if you wish.
  • Do I need to set up a pension scheme if none of my staff need to be put into one? If any of your staff are not aged between 22 up to state pension age and earn less than £192 a week or £833 a month, then you only need to put them into a pension scheme if they ask to join. If this happens, you’ll need to set one up at this point. If your member of staff earns more than £116 a week (or £503 a month) you must pay money into the scheme as well. If they earn less than this, you can choose whether you wish to pay money in or not. If you have staff aged between 22 and state pension age, you’ll need to check each time you pay them after your staging date whether their earnings are over £192 a week (£833 a month). If their earnings are over this amount, you’ll need to provide a pension scheme for them. This includes anyone who starts working for you after your staging date as well.
  • How often do we need to check to see if staff who don’t need to be put into a pension scheme still remain in that category? You must check the ages and earnings of your staff (including new starters) every time you run your payroll to check if their circumstances have changed. Anyone aged between 22 up to state pension age and earning over £192 a week or £833 a month must be put into a pension scheme. You must write to inform them within six weeks from the day you put them into a scheme.
  • What about the declaration of compliance to The Pensions Regulator? You must complete your declaration online at within 5 months of your duty start date (and every 3 years thereafter) to avoid £400 penalty. You must do this if you enrolled an employee, if  no one was enrolled, if you do not have any employee’s & even if you ceased being an employer and closed your PAYE scheme