Count Accountants - News Update

The new pension auto-enrolment scheme requires all employers to have to automatically enrol eligible jobholders into a qualifying pension scheme. This could, for example, be an existing pension scheme if it meets the automatic enrolment criteria, or the new National Savings Trust (NEST).

This is a major change driven by the Government's pensions reform and it is being phased in through to 2018, (the big employers have already 'gone live' with many more going 'live' each month). If you are an employer you will have to start preparing now.

This preparation includes understanding:

 Who and how many eligible workers you have.
 What counts as qualifying earnings.
 What level of contributions you will have to make and when - employers contributions will be phased but will rise to 3% of employees qualifying earnings by 2018. This is an additional expense which you will have to plan for.
 Timescales - you will be allocated a staging date which you can find out with you HMRC PATE reference.
 Whether you opt for your own scheme or a NEST.

There are key steps which an employer must plan and take forward:

 Know your staging dates.
 Nominate a point of contact with the HMRC and pensions regulator.
 Develop a plan which includes assessing your work force.
 Review your pension arrangements
 Communicate the changes to all workers.
 Automatically enrol eligible jobholders into a pension scheme.
 Process opt-out and opt-in requests.
 Register with the Pensions Regulator and maintain records - ongoing.
 Contribute to your workers' pensions

You will need new systems in place to ensure that once it is set up you continue to:

 Pay contributions.
 Process opt-out and opt-in requests.
 Continue to monitor ages and earnings of your employees.
 Assess new starters.

Count on us to help you through this process.

 
Content

Contact UsContact me

For assistance with a range of accounting services:

 

Email: info@countaccountants.co.uk
Phone: 01383 740700 or 07774 131338

Address: John Mauchline FCMA, Chartered Management Accountant, The Old Garage, Mill Hills Farm, Crieff, PH7 3QW