Pensions & Auto Enrolment Services
Government-introduced workplace pension provision is now mandatory for all employers. There’s no avoiding it. If you employ at least one person, you have a legal duty to set up pension schemes for your employees and contribute towards it. Failure to comply results in enforcement action in the form of statutory notices, penalty notices and, worst case scenario, court action.
Auto enrolment is very complicated and time intensive
Staging dates; opt-in and opt-out employees; ongoing eligibility assessment; pension provider interfacing; contribution calculations and payment; compliance declarations; management reporting; and much more can add further burden to your business. Without the dedicated skills, it is also open to costly errors; both in time and money.
Don’t worry, we’ve got it all covered
With our simple end-to-end, complete, personal payroll and pension service, we will manage not only all the usual payroll tasks such as processing your salaries, but also look after pension contributions in accordance with auto enrolment legislation.
eSlip Payroll are pleased to offer a completely independent Pension Auto Enrolment Service via all UK Pension Providers to suit the requirements of all customers.
For independent advice please visit – The Pensions Regulator
As part of our Pension Auto Enrolment Service we work with NOW Pensions to provide new customers with an excellent service that offers cost saving benefits to the employer or up to 64% for 5 employees or more and 44% for 1 to 4 employees.
The service with NOW Pensions is simple to set up. The following steps show just how simple it can be:
1. We contact Now Pensions and set up the employer portal site:
- Verify Company details
- Employer/Admin role account setup
- Adding Bank Details
- Setting up the payroll codes/payroll details
- Any postponement decisions
2. Liaise with Now Pensions and client to get all the information we need to set up the pensions on our payroll system:
- Employee & Employer pension contributions
- The calculation operation – relief at source or net pay arrangement
- Are the employee & employer contributions between lower & upper qualifying earnings of on all earnings?
- What pay elements are to be pensionable? IE basic salary, overtime, sick pay etc.
- What the staging date is.
3. Update our payroll system:
- Load all pension scheme information onto client payroll system
- Load pension contributions onto each employee’s record
- Assess workers to find out who is eligible and who isn’t
4. Payroll processing:
- We deduct pension contribution amounts from employees payroll
- We provide pension reports to clients detailing what has been deducting Employee and Employer
5. Submitting Pension contributions to Now Pensions
- We create a specific report that Now Pensions require for us to submit online (see attached specification)
- We log into Now pensions online portal and import pension report
- The portal will flag up if there are any errors or any records which have not been successfully imported
- If there are unsuccessful records, we go through and diagnose why they were rejected, correct it and re import
6. Dealing with employees opting in or opting out:
- We download a file from Now Pensions system, which will contain data of anyone who has requested to opt out or opt in
- We update any Opt in or Opt Outs on the payroll system in time for the next available pay run
We then have to assess which employees that have ‘Opt out’ are able to get their pension contributions refunded and who does not.
What is a staging date?
The staging date is the date at which you are required to provide a pension for automatic enrolment.
Can I defer my staging date?
No, but you can delay the date of the 1st assessment for up to 3 months. If any employee wishes to join the scheme between your staging date and the deferment period then they must be able to.
Who are my eligible employees?
This is based on several criteria. These are: They must be aged between 22 and state pension age, they must also be classed as working ordinarily in the UK and their earnings must also be assessed as there is a minimum qualifying earnings threshold.
How do I tell my employees that they are in the scope?
The Pension Regulator has very strict guidelines on what your communications should say. This is important to ensure you do not offer any financial advice.
What if an employee does not want to make contributions?
The eligible jobholder may choose to opt out of scheme membership once they have been automatically enrolled. It can only happen within a specific time period known as the ‘opt-out period’.
We already have a pension scheme. Can I just use that scheme?
Yes you can but it must be a qualifying scheme as set out by the Pension Regulator. If you already have employees in a scheme you should ensure that you have clarified that it is suitable for Auto Enrolment.
What records do I need to keep?
You as the employer will need to ensure you hold a full audit trail of assessment criteria, employee communications, contributions and payments to the pension provider. This will be used if you have a visit from the Pension Regulator.
What do I need to tell the Pension Regulator?
You will need to register with the Pension Regulator to inform that that your auto enrolment scheme is active.
I am confused, where can I find more information?
The Pension Regulator Website is clear and concise and is a great source of information. You can also find your staging date by entering your PAYE Reference. Alternatively, simply call us at eSlip Payroll and we will be happy to take you through step by step.
Why NOW: Pensions for Employers
Whether you have one worker or hundreds, NOW: Pensions provides a simple way to set up and manage your auto enrolment pension. Find out more great reasons to work with NOW: Pensions.
An introduction to auto enrolment
A guide to help explain the rules and regulations around auto enrolment including summary of auto enrolment, eligibility of a workforce (eligible jobholders, entitled workers and non-eligible jobholders), timings, member costs and postponement.
Step by step guide to auto enrolment
This step by step guide will help you understand what is expected of you and how employees may be affected. The steps a broken down to the following categories: Staging dates and planning, Scheme selection, Scheme design and contributions, Payroll integration, Assessing workers, Postponement, Communications, Record keeping and reporting.