Auto Enrolment for New Employers
So, you have set up or are about to set up a new company. There is lots to do. Get premises, raise funding, open a business bank account are just some of the things you need to do. A workplace pension is also one of those must-do tasks. When someone is about to employ a worker for the first time, they need to take certain steps in preparation for taking on staff, such as determining whether they need to register as an employer with HMRC, or taking out liability insurance. Getting ready for automatic enrolment is also one of these steps.
As soon as your first new member of staff begins employment, you must be ready to comply with their legal Auto Enrolments duties. This is your Duties Start Date.
New employers after 1 October 2017 don't have a staging date, so you can get started by telling TPR who should be their point of contact for automatic enrolment.
For All Employers
The law on workplace pensions has changed. Under the Pensions Act 2008, every employer in the UK must put certain staff into a pension scheme and contribute towards it. This is called 'Automatic Enrolment'.
Whether you're a hairdresser, an architect or estate agent, if you employ at least one person, you are an employer and you have certain legal duties.
Automatic Enrolment in 6 simple steps
Step 1 - Know your Staging Date or Duties Start Date
Each employer will be given a date by which they must comply with AE rules. This is the Staging Date. To check a staging date there is only one place to go:
The above link will tell you officially when you must comply.
Step 2 - Check your Duties
If you want to check what you must do and by when complete the Duties Checker process.
Step 3 - Choose a Pension Scheme
The workplace pension is provided by Salvus Master Trust. The Administrator is HS Admin. The Default Fund is provided by AEGON Asset Management. Salvus is accredited under ICAEW audit rules known as Mastertrust Assurance Framework. Go to the Workplace Pension section and Why use Salvus section for all the additional information you need. Get Set Up Now
Step 4 - Work out who to put into the pension
This step is usually done via payroll software. Check that the software you use will do this. If you outsource your payroll you need to check with whoever runs your payroll.
You must automatically enrol all staff that:
- are aged between 22 and State Pension age
- earn more than £10,000 a year
- work in the UK
Step 5 - Write to or email your staff
All employers must send a letter or email to ALL staff to explain Auto Enrolment, how it impacts on each employee and confirm details of the pension scheme. Payroll can do this for you. If payroll doesn’t do this, our software can produce these letters for you to print and give to your staff or if you have email addresses for your staff, our software can send the letters directly.
Step 6 - Tell the Regulator you have complied
Remember, automatic enrolment is your legal duty and if you don't act you could be fined.
Automatic enrolment duties do not apply when a company or individual are not considered an employer. For example, you may no longer employ any staff, you have ceased trading, or you’re the director of a company with no other employees. To let the Regulator know about this click below.
If you need to understand the detailed rules and responsibilities a full set of guidance notes is maintained by the Regulator.
If you are now ready to sign up click here.
In just a few minutes you can be set up. It's all online. You even sign up online using our secure electronic signature solution. You will need your Company Registration number, your PAYE reference and once registration is complete you will receive your login to set up a direct debit to collect contributions.
Workplace pensions in black and white.