Planning to take on your first member of staff? Make sure you know what you need to do about their pension. It’s the law.
If you are thinking of taking on your first member of staff then, as an employer, you’ll have a number of responsibilities. As well as deciding what to pay them, you’ll also need to assess them from the first day they start working for you to see if you need to put them into a workplace pension scheme. This is called automatic enrolment and is a legal duty.
You should start preparing early to work out what you’ll need to do and when you’ll need to declare your compliance. The Pensions Regulator has produced a short video in their ‘James Explains’ series to help you.
Have you missed your automatic enrolment duties start date?
If you have missed your duties start date you still need to work out what your automatic enrolment duties are if you have not already done this.
If you have staff that you need to put into a pension scheme, then what you’ll need to do will depend on how late you are setting up your scheme and putting your staff into it. If you are more than six weeks past your duties start date, then you’ll need to backdate any contributions you’ve missed.
The Pensions Regulator has information and guidance on what you need to do if you’re late setting up your pension scheme.
Have you recently employed someone for the first time and looking for a pension scheme to automatically enrol them in?
Choosing a pension scheme for automatic enrolment doesn’t need to be daunting, or expensive. The Pensions Regulator has online guidance on what to consider when choosing a scheme.
Find out in good time what you need to do to meet your automatic enrolment duties, by when, and what costs you may need to factor in.
Received a letter from The Pensions Regulator? Don’t ignore it – you risk a fine
Whether you are a new employer and thinking about your automatic enrolment duties for the first time, or if you are approaching re-enrolment (which takes place every three years), if you’ve received a letter from The Pensions Regulator, don’t ignore it. It means that the regulator is expecting you to take action – so make sure you know what you need to do and by when.
The Pensions Regulator has information and guidance to help you. Don’t ignore your responsibilities – you risk a fine.