Frequently asked questions (FAQs) that many of our clients have about auto enrolment:
Frequently Asked Questions
- In the shortest number of words what’s it all about?
- Decide your pension provider
- Setup your pension scheme and communicate with all your employees
- Check all employees at every payroll run for evermore
- How far in advance should I plan to meet my staging date?
Everybody suggests starting at least a year in advance of your staging date. - What happens if I’m not ready in time?
There are substantial fines involved for non-compliance. If you rush the job then the costs are likely to be higher. Planning ahead will reduce your risk and cost. - We already provide a pension scheme - do we need to change?
You need to check that your current pension scheme is suitable for auto enrolment – in our experience it’s unlikely that it will be. Even if it is you’ll still need to make a number of changes to meet the requirements of the legislation. - Will we need to change our payroll software?
You will need software to handle the initial assessment and the ongoing checking commitment at every payroll run. That is unless you do this manually which we don’t recommend because of the risk of making a mistake and the admin chore. - I’m a one person only company and an employee – do I have to comply?
If you have no other employees then exceptionally you don’t need to comply. As soon as you take on another employee then you will need to comply for all employees, including yourself. - I’ve looked at some of the online information on his subject and it seems so terribly complicated – am I right?
The more you look, the worse it gets. In practice, however, we find that it’s usually straightforward and takes a minimal amount of time for our clients, simply because we know how to handle it. - None of our employees will want to join a pension scheme, do I have to set one up?
Yes, moreover you must enrol them according to the rules.
Links
www.thepensionsregulator.gov.uk/docs/detailed-guidance-1.pdf
An explanation of the automatic enrolment process.
http://www.thepensionsregulator.gov.uk/docs/employer-select-pension-auto...
A quick guide to selecting a good quality pension scheme
Please call us on 0800 883 0711 with your questions about complying with this major change in pension legislation. Talk to us over the phone or arrange a face-to-face meeting with one of our auto enrolment team.
BookCheck has been providing outsourced bookkeeping with management accounts and payroll services for 20 years and have worked with many clients throughout the UK.
Now we also setup, implement and maintain the additional auto enrolment systems you need to be fully compliant with this important legislation.