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Auto Enrolment - Help Please


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Out of interest (and going slightly of topic), will companies be required to make contributions from now on. My OH works for an SME, she has a personal pension scheme, but the company makes no contribution to it.

 

They will have no choice but to set her up on their auto enrolment scheme (not sure if she gets any choice in where the conts go however).

 

But then she can opt out of it if she wishes once it starts (might be worth negotiating with her employer so she still gets a contribution either directly to PP or a small pay rise?).

 

We have two very small businesses being forced into setting this stupid thing up.

 

one is 3 people , 1 employee , 2 directors (directors can be exempt)

The other is 4 employees , 2 directors.

 

I went with NEST on the advice of a friend who already went though this , its pretty straightforward to setup online. I run my payroll using moneysoft - seems to integrate OK.

 

But as soon as set up I am going to gently suggest people opt out so I can stop having to manage it ongoing (as it just seems onerous).

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They will have no choice but to set her up on their auto enrolment scheme (not sure if she gets any choice in where the conts go however).

 

But then she can opt out of it if she wishes once it starts (might be worth negotiating with her employer so she still gets a contribution either directly to PP or a small pay rise?).

 

We have two very small businesses being forced into setting this stupid thing up.

 

one is 3 people , 1 employee , 2 directors (directors can be exempt)

The other is 4 employees , 2 directors.

 

I went with NEST on the advice of a friend who already went though this , its pretty straightforward to setup online. I run my payroll using moneysoft - seems to integrate OK.

 

But as soon as set up I am going to gently suggest people opt out so I can stop having to manage it ongoing (as it just seems onerous).

 

Nest looked horribly inflexible to me, and will be short on UK support (tata will be running the helpline).

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Companies don't have to use NEST though? They could set up money purchase schemes for all employee's and then make contributions to that?

 

Absolutely, but its not free unless you know what youre doing (I don't). I know they had something to sell (I didn't buy anything :)) but it was an interesting read.

 

http://msfs.co.uk/downloads/nest-vs-the-rest.pdf

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I filled the paper work in last year but have not heard owt since. I have 3 employees that all work 8 hours a week. How much will I need to sort out to add to there contributions?

 

Ask you pension company but it's around 2% each from qualifying pay. It's based on salary. I'm not sure they'd qualify on that amount. Which pension scheme did you pick?

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Ask you pension company but it's around 2% each from qualifying pay. It's based on salary. I'm not sure they'd qualify on that amount. Which pension scheme did you pick?

 

What I meant is that I filled the paperwork that was sent saying I was the named person in charge of my company. They said they would be in touch nearer the time. I have not replaced any staff I have lost for a few years. Well except for a couple of 17 year olds that are at collage. It works out better for me.

 

---------- Post added 24-04-2016 at 21:35 ----------

 

What I meant is that I filled the paperwork that was sent saying I was the named person in charge of my company. They said they would be in touch nearer the time. I have not replaced any staff I have lost for a few years. Well except for a couple of 17 year olds that are at collage. It works out better for me.

 

I will speak to my accountant tomorrow.

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