As a result of Automatic Enrolment, millions of employees now have the opportunity to start building savings for their retirement.
As a result of automatic enrolment, millions of people have been enrolled into a workplace pension. Your workplace pension responsibilities will begin as soon as you employ your first member of staff. It’s the law. Get to know how these duties apply to you.
What is automatic enrolment?
Under the Pensions Act 2008, every employer in the UK must enrol qualifying employees into a workplace pension scheme and may have to contribute towards it. This is called ‘automatic enrolment’. If you employ at least one person you are an employer and you have certain legal duties.
From 1 October 2017, your automatic enrolment duties as an employer begin on the day your first employee starts work. This is known as your automatic enrolment duties start date. It is important that you find out what you need to do, so you can prepare beforehand.
Does automatic enrolment apply to me?
No matter whether you’re a hairdresser, an architect, or employ a personal care assistant; once you employ at least one person you are an employer and you’ll have legal duties and tasks to complete.
Not sure if you’re an employer?
If you deduct income tax and National Insurance contributions from the wages of the person you employ, then you are usually their employer. If you have used an agency to hire the person and the agency pays their National Insurance contributions, the agency is the employer and you don’t need to do anything.
What do I need to do?
To find out how automatic enrolment applies to you, visit The Pensions Regulator’s website and use their online tool. This tool will ask you a few short questions about you and your employees, to work out which duties apply to you and when. The online tool will give you tailored help and guidance to complete any automatic enrolment duties you may have.
Who is The Pensions Regulator?
The Pensions Regulator is a public body set up by the UK Government to regulate work-based pensions. There is information and help available on their website and they also contact employers to remind them about their duties and when to carry out tasks.
Get to know your responsibilities.