From our base in central London we provide advice on auto enrolment into a qualifying workplace pension. We are here to help throughout London & the South East. Auto Enrolment White Paper
Facts & Figures MD Simon Webster hosts a weekely radio show on www.channel radio.co.uk called Money Talk he recently broadcast on Auto Enrolment into workplace pension, two useful segments are linked below. Please remember to turn on your computer’s speakers…
From October 2012 the face of workplace pensions in the UK changed forever. Employers became legally obliged to auto enrol their staff into a workplace pension -instead of merely presenting them with information or leaving them to ask to join one. Implementation is being phased with the largest employers going first with smaller firms “staging” somewhat later dependent on PAYE reference number.
Advance planning is essential – particularly for those firms setting up long term supply contracts. A 3% payroll levy half way through a contract could have a major impact on contract profitability. In addition employers will have re enrol their eligible workers every three years and keep records to prove they did! The onus will be on employers to keep comprehensive records and the fine for non compliance could be anything from £500 – £50,000 plus £10,000 a day!
The idea is that once in inertia will encourage the huge numbers with no workplace pension provision to start saving for their retirement as a result of being automatically enrolled into a workplace pension. The key point is that once fully implemented the employer will have to contribute at least 3%, the employee 4% and the government will offer a 1% tax break equivalent to basic rate relief on employee contributions. It is also worth noting that the employer will receive corporation tax relief on their element of the contribution and that NI is not charged on pension contributions.
The rules are employees must be auto enrolled into a workplace pension not auto enrolled into Nest. We regard Nest as unsuitable for many employers.
We offer a consultancy service on implementing auto enrolment into workplace pension and a support & administration service for those employers who need to review existing or implement a new workplace pension.