Auto Enrolment Support for Small Employers
Since October 2012, there has been a great deal of publicity and media attention surrounding the introduction of workplace pensions (Auto Enrolment). Until recently, in general, only ‘large’ employers have been effected – this is about to change.
If you operate a PAYE scheme for your business, you will have been allocated a Staging Date by The Pensions Regulator and you must ensure that you have made pension provision for your workforce. If you are unsure of your Staging Date, this can be found by inputting your employer’s PAYE reference number at www.thepensionsregulator.gov.uk/employers/tools/staging-date.aspx. It is recommended that you seek the advice of a professional to assist you in your choice of pension scheme, the set up and administration thereof and employers need at least 6 months lead time, if not 12 months, on this procedure.
In 2015/16 there are approximately 150,000 employers staging, with a further expected 250,000 staging in 2016/17. The remainder of employers will follow over the next year. This means that small employers, even those with only one staff member, will be affected in the next 3 years.
Failure to comply will result in hefty fines from The Pension Regulator, starting with a fixed fine of £400, with an increase of £50 to £10,000 per day, depending on the number of employees on your payroll. No matter whether you are a large or small employer these penalties are weighty for non-compliance.
Moore and Smalley have a team of specialists who can provide independent financial advice and assist in the design and implementation of an appropriate solution to comply with your auto enrolment obligations, and support your business needs, circumstances and budget. In addition the Moore and Smalley Payroll Services team are available to assist smaller employers in the administration of scheme.
Leaving this decision till the last minute should not be an option, our recommendation is to seek advice and support sooner rather than later.
If you would like to learn more on the subject, please contact Isabel Bamber.