By now most of our
clients will have dealt with their auto-enrolment process and have set up
pension schemes with our help for their staff.
According to government statistics 8.5 million people have automatically
been enrolled in work-place pensions by nearly 800,000 employers.
From October 2017
anyone thinking of taking on staff for the first time should start planning for
their automatic enrolment responsibilities.
As soon as they take on staff they will have work-place pension
duties. Paying into automatic enrolment
should be carried out alongside all other tasks associated with running the
business and a business start-up.
If the employer has
eligible staff to put into a pension scheme they will need to identify a
provider and allow plenty of time to do this.
They should also ensure there chosen payroll solutions are compatible
with their scheme so that staff receive the pensions they are entitled to on
Within five months of
taking on staff employers must complete a declaration of compliance to the
Pension Regulator telling them what they have done.
Employers should be aware that meeting their duties late or failing to
set up a scheme as soon as they employ eligible staff will not save the
money. This is because contributions
will need to be backdated.
is not a one-off task. Employers have
ongoing duties. This means they must
continue to assess staff and keep records every three years. Staff
who initially opted out must be automatically enrolled back into a workplace
pension. They then must complete a
re-declaration of compliance within five months of the anniversary of their
staging date. Between now and the
end of the year 12,000 employers are due to complete their redeclaration of