This is the latest Government initiative to encourage all workers to have a pension plan.
With a few minor exceptions anyone who employs someone else will need to set up a pension plan and enrol those employees who meet the definition of “worker” into it. Any “workers” not wishing to pay into the pension plan may opt out, although will be re-enrolled in the future, again having the opportunity to opt out.
The employer will be required to make pension contributions for most employees within the scheme. There are exceptions as some employees will fall outside of the schemes definition of “worker” (who must be offered a pension) but may join voluntarily.
There is lots of information available from the Department of Work and Pensions about Automatic Enrolment available with a TV advertising campaign featuring Workie the purple and green furry creature.
We are not financial advisors and cannot advise on the choice of scheme for your business. If we do your bookkeeping we will advise you on the relevant dates and requirements to enable you to comply with the regulations.
Where we do not carry out payroll duties we will endeavour to keep you informed of the relevant deadlines, subject to having details of your payroll.
More information can be found at: