What is Auto Enrolment?
Auto enrolment means that as an employer you must have a company pension scheme in place that you contribute to and you must assess each of your employees for eligibility to join the scheme, every time you run your payroll.
Selecting the right Auto Enrolment pension scheme
Selecting the right pension scheme to meet both your needs and obligations and those of your employees can be challenging. Here’s an idea of the sort of things you’ll need to take into consideration:
- Can your existing pension scheme be converted into auto enrolment scheme? Some can, but not all, so do check
- What type of pension scheme do you want to provide to your employees?
- What contributions do you have, or want to make to the scheme?
- Do you want to offer investment options to employees?
- Is salary sacrifice an appropriate approach for you and your employees?
- Will there be a deferral period for new employees before they join the scheme?
Administering your Auto Enrolment scheme
Once you’ve selected your pension scheme, you’ll need to manage the auto enrolment process on an ongoing basis. Here’s an idea of the things you’ll need to undertake to set up and manage your scheme:
- You need to identify the eligibility of each of your employees (based on their salary and other components of their pay), as this determines what they are entitled to receive
- You need to undertake an assessment of eligibility for each employee, every time you run your payroll
- You need to take into account the impact of things such as overtime, fluctuating hours and unpaid leave on entitlements at each payroll
- You need to communicate to your employees, and your pension provider
- You need to give your employees the option to opt out of the auto enrolment pension scheme
Our Auto Enrolment services
Auto enrolment can be time consuming to set up and manage on an ongoing basis. There are also significant financial penalties for not getting it right and not complying with your duties as an employer. That’s why many of our clients have asked us to manage the end to end auto enrolment scheme and payroll on their behalf.
- Selecting the right pension scheme for you and your employees
- Converting your existing pension scheme (where appropriate)
- Recommending and implementing a suitable pension scheme
- Registering your auto enrolment scheme
- Assessing eligibility for each of your employees at set up stage and at each subsequent payroll
- Communicating eligibility and any changes, to employees and your pension scheme provider as required
Key benefits of our Auto Enrolment service:
- Reduce costs – when we manage your payroll and auto enrolment scheme we’ll aim to reduce your costs by using tried and tested, cost efficient systems and processes. We’ll also ensure that you select the most cost efficient pension scheme for your needs.
- Reduce risks – when we manage your auto enrolment scheme we hold ourselves accountable for it. We’ll proactively manage your scheme to ensure that you remain compliant with your legal duties.
- Focus on your core business – by outsourcing your payroll and auto enrolment duties to us, you can focus on other, more strategic projects that will drive your business forward
For more information contact Kevin Hilton at firstname.lastname@example.org – 01904 464 100