Auto-enrolment – Common Sense changes announced.

Law, Payroll, Pensions, Uncategorized l

Pension-PeopleAn announcement of “common sense” changes to auto-enrolment has been made by the Pension Regulator, which will benefit a significant number of owner managed and family businesses.


While a declaration of compliance and other tasks remain a necessity, the 2 new Q&A  released, remove a significant burden/red tape from business owners across the country.

“Which tasks do I need to carry out if none of my staff need to be automatically enrolled?

– Whilst your staff are not eligible for automatic enrolment, they can still ask to go into a pension scheme. If that happens you must put a pension scheme in place and may have to pay contributions into it as well. Even if you don’t have any staff to automatically enrol, you’ll still need to complete the following tasks.

– You must write to all of your staff to let them know that they have not been automatically enrolled but can ask to go into a pension scheme.

Do I need to set up a pension scheme if none of my staff are eligible for automatic enrolment?

– No, there is no need to set up a pension scheme if you have no staff to automatically enrol. However, while your staff may not be eligible for automatic enrolment, they can still ask to go into a pension scheme. If this happens, you’ll need to set one up at this point. If your member of staff earns more than £112 a week (or £486 a month), you must make contributions to the scheme as well. If they earn less than this, you can choose whether you wish to contribute or not.

– If you have staff aged between 22 and state pension age, you’ll need to check each time you pay them after your staging date whether their earnings are over £192 a week (£833 a month). If their earnings are over this amount, you’ll need to provide a pension scheme for them. This includes anyone who starts working for you after your staging date as well.”


If you have any queries on auto-enrolment please do not hesitate to contact our team, and watch out for details of our next FREE auto-enrolment event.

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