Pension Auto-Enrolment

Letters from the pension regulator. What this means for you?

2015 sees many medium sized companies, mainly those with 25-50 employees, being brought into auto-enrolment which is requiring the compulsory establishment of a work based pension. In 2016 it is the turn of the “micro-entity” which are those with only a very few employees. In preparation for the massive increase in the number of companies needing to register The Pension Regulator has accelerated the sending of registration letters.

The only requirement with the initial letter is to establish the “primary contact”, this has to be a person (usually the business owner) who is ultimately responsible for the businesses compliance affairs. You may have a “secondary contact” who is the person responsible for payroll, but for smaller entities this is unlikely. This can be completed online.

Make sure you know your staging date. If you do not, please contact us as we have this information available for all our clients. Or you can enter your PAYE reference.

The next step in the process is make sure you have an action plan and have all the key dates in your diary. The count back is from your “staging date”. Be mindful that in Q1 2016 there are over 100,000 new schemes to be enrolled, which is more than are already in existence, and that continues for the following 2 years. There will be a limit on the amount of IFA resource available at that time, getting prepared early will have advantages.

12 months out

Make sure you have a plan
Understand the cost implications
Clean up your payroll data (employee details)
Every employee needs a “personal” email address

6 months out

Commence the set up of your scheme
Get professional support

3 months out

Engage with your workforce

You may consider that this added administration is not something that you want to spend time on and outsourcing your payroll function might be a solution. Contact us at and we can look at a tailored solution fitted to you needs.