So, we should probably start off with the basics. What is a Workplace Pension? Well, a Workplace Pension allows you to save money for when you retire and is organised by your employer. Every time you get paid a percentage of that money will be put into your pension scheme as well as money from your employer and possibly even tax relief.
The face of workplace pensions changed in 2008 underneath the Pensions Act; every UK employer must now place their employees into a pension scheme and must pay into this scheme. This is otherwise known as Automatic Enrolment. This is a massive change for SME’s in the UK as it is now a compulsory act to perform if an employer has at least one member of staff.
Now, if you’re an employer worrying about how unprepared you are for automatic enrolment, don’t worry. This is what we’re here for. First you should find out when your company’s staging date is; this could be found out through various letters that should have been sent to the company or if not then use a staging date calculator.
Once you’ve gotten this figured out, the next step is to find out who is eligible for enrolment. You can find this out on the Need to Know about Auto-enrolment page of our Website. You will also need to assign somebody as the point of contact. This will be the person who receives all of the information and is kept up-to-date about the scheme.
The company will need to select a pension scheme whether it’s one that is already in place for the company or a brand new one; whatever is best suited then wait for the staging date to come around, but ensure that you are consistently kept up-to-date. Once your staging date has come around the employer will need to inform all staff about the auto-enrolment and give them all the information that is needed to make sure they are an active member to the scheme.
However, once the staging date has been and gone, this isn’t all the work done for the employer. The employer must continue to keep record of enrolment activities and monitor new staff. Trying to do all of this whilst maintaining your own company as well can be quite challenging; that’s why we’re here. Companies like ourselves will ensure that you’re up to scratch with everything auto-enrolment related, so you don’t have to worry about it.