Due to recent changes in legislation all employers will be obliged to offer a workplace pension scheme by 2018 to eligible employees.
The largest employers will be staged first followed by medium sized and then finally small employers. You will be informed of a staging date by the Pension Regulator and you will need to inform a point of contact by this date and have assessed your workforce for eligibility.
Whether they work part time or full time, you will need to enrol your employees in the Workplace Pension Scheme if:-
The employee is not already enrolled in a workplace pension scheme
Aged between 22 and State Pension age
Earn more than £10,000 a year
Work in the UK
Any worker earning over £10,000 a year (this figure will be reviewed every year) will be automatically enrolled into a workplace pension by their employer. The minimum percentage contribution will be made on anything the worker earns over £5,772 up to a maximum limit of £41,865.
None compliance of this new law will result in penalties being incurred small and medium business will face a fixed penalty of £400 if they fail to comply with the legislation, with the potential of incurring additional escalating fines.
In the last three months of 2014, 166 businesses were fined for non-compliance, according to figures from the Pensions Regulator. The trend suggests the smaller a company is, the more likely it will fail to comply so don’t delay and call us now for a free no obligation consultation on 01704 891167.
At Beaumont & Co we understand that you will want to keep costs low whilst remaining compliant, we are able to deal with all aspects of Auto Enrolment leaving you to concentrate on profit and not pensions!