FAQs

When should new employees be enrolled?

Employers must automatically enrol all new and eligible employees who are:   aged 22 to state pension age earning over £10,000 a year Working or ordi ...

Do I need to enrol overseas workers?

For Auto-Enrolment (AE) purposes, an employer only needs to assess and enrol UK workers into a scheme. Therefore, as an employer, you need to assess if a worker is working or ordin ...

Do AE regulations apply to employees currently in a SIPP? ​

Before a private pension arrangement such as a SIPP can be in place, the AE process must first be followed with the worker being enrolled, if eligible, and then opting out. Furthe ...

What is the Duties Start date? 

Anyone who became an employer after 1 October 2017 has to legally comply with automatic enrolment duties for their new employees. These duties apply immediately from the first da ...

Tax Relief Options on Workplace Pension

When employees contribute to their pension scheme, they get tax relief on their contributions. This means that some of the employee’s pay, which would otherwise have gone to ...

What are the minimum pension contributions?

From 6 April 2019 onwards, the minimum workplace pension contributions is a total of 8%, at least 3% of which must be paid by the employer. These minimums are required by the aut ...

Can employees opt out before being enrolled?

No. An employer must enrol all eligible employees first so that the pension provider can provide them with all the necessary information and documentation. Only after b ...

What are seconded workers?

In general, a seconded worker is one who is assigned from a foreign company to work for the local (UK) company for a limited period of time for a variety of reasons. ​ As far as t ...

Earnings basis

The earnings basis refers to the basis of the employee’s earnings that are used for calculating pension contributions. See the options below: Qualifying Earnings:  ...

Lifetime Allowance Protection

The lifetime pension allowance is the total amount you can build up in all your pension savings without incurring a tax charge. Learn more on what pension allowance means here. ...

What is Qualifying Earnings

Qualifying earnings is the name given to a band of earnings used to calculate contributions for Auto-Enrolment: Total Minimum required: 8% of all Banded Earnings Company Mi ...

Can a company Director be exempt?

Some workers who would normally meet the Auto-Enrolment (AE) criteria may be exempt or excluded from AE if they are Directors of a company. A director is only a worker for AE purp ...