Automatic Enrolment (or "Autoenrolment") is a new pension initiative introduced by the UK government to help people save for retirement through automatically enrolling employees into a workplace pension scheme. This means that every employer in the country must provide a pension scheme for their employee/s and enrol them into it if they qualify. This includes people who employ Personal Assistants / Carers.
Whether a PA / Carer qualifies for Autoenrolment is dependent on their age and earnings. However, it is a legal requirement to have a pension scheme in place whether employees are eligible for Automatic Enrolment or not.
Employees who do not qualify for Automatic Enrolment are still entitled to opt in to a pension if they are aged between 16 and 75 – however, the employer does not necessarily need to contribute to the pension.
Employees who are automatically enrolled into a pension scheme may then choose to opt out and close the pension. If they do this within a month of being automatically enrolled, the initial pension payment will be refunded. However, they will have to be re-enrolled every three years if they continue to qualify.
Enable Payroll has developed a comprehensive solution to allow us to manage Autoenrolment on behalf of our clients.
Where requested we will:
|Provide a pension scheme.|
|ü||Help service users and their employees understand the legislation and meet guidelines.|
|ü||Write to all employees to inform them of the Autoenrolment process.|
|ü||Manage all communications with the Pensions Regulator.|
|ü||Categorise all Carers / PAs to see if they qualify to be automatically enrolled or may opt in to a pension.|
|ü||Enrol qualifying Carers / PAs into the pension, and re-enrol when required.|
|ü||Constantly evaluate Carers / PAs to check if their qualifying status changes.|
|ü||Automatically enrol existing and new eligible employees.|
|ü||Administer employees opting in and opting out of pensions.|
|ü||Calculate salary deductions and pension contributions.|
|ü||Re-register with the Pensions Regulator every three years.|
The fees for this (per employee) will be:
- £10 start up fee for all employers
- £1.50 per pay run where a pension deduction is made
- £5 per annum admin fee for all employers to keep information up to date with the Pensions Regulator