What is Auto-Enrolment?
Currently there is not enough in the “pension pot” for everyone to get a decent state pension when they retire, and only around 52% of the British population has a private pension to support them. The Government reckons that auto-enrolment will generate between 4 and 8 million new pension savers from its launch in 2012.
What employers must do:
- Find out when their Staging date is
- Speak with Pension Providers to find a suitable qualifying scheme
- Enrol ‘eligible’ jobholders into the scheme when they hit their staging date
- Pay an employers contribution to the employees scheme
- Tell employees they can ‘opt-out’ (in a legal manner) but must be enrolled first
- Register with The Pension Regulator and provide details of a qualifying scheme that they are going to use.
To be eligible an employee must be:
- Over the age of 22 and under the State Pension Age
- Must earn over the lower earning threshold
- Must work in the UK
The Pension Regulator!
The objectives of The Pension Regulator is to protect the benefits of the members, to promote and improve understanding and to maximise compliance.
For full information on Auto Enrolment https://www.gov.uk/workplace-pensions
The Hollies Bookkeeping Services are up to date with auto-enrolment, using Sage 50 software, we have attended Seminars with Sage on how Auto-Enrolment will need to be implemented. We have contacts with Pension Advisors who would be more than happy to discuss the auto-enrolment future with our clients and to assist in getting every one ready for their scheduled staging date. Once that our clients are satisfied with the pension scheme chosen, we at The Hollies Bookkeeping Services can help by implementing the scheme into the client’s Sage Payroll programme and process in the same manner as we do regular payrolls with RTI.