UK businesses who employ one or more workers have to put them into a pension scheme, if they meet certain criteria.

Auto Enrolment will have an effect on all businesses whether they employ just 1 person or 1000. The Government’s desire for self-sufficiency in workplace pensions resulted in Auto Enrolment legislation being executed. The largest companies were required to establish their compliant schemes from October 2012, with a series of staging dates being introduced determined by the number of employees in a company over the next few years. All eligible workers will need to be automatically enrolled into a Qualifying Workplace Pension Scheme with mandatory minimum contributions from the employer and the employee, the only criteria is when and how much!

It is estimated that at its peak there will be over 200,000 businesses trying to “stage” (set up their own scheme) in the same quarter. All businesses will all be required to have a qualifying workplace pension scheme in place and will be required to have a system capable of administering employee contributions and benefits. In addition businesses must maintain adequate records and meet all the requirements of the Pensions Regulator.

The resources available to help businesses deliver against their requirements are going to become increasingly in demand and possibly scarce and that will mean that the price for support or assistance may well rise. This is described as a predicted “Capacity Crunch” and is a very serious matter that should not be underestimated by employers. STAFFPLAN is unique in that it allows the employer to set up a qualifying scheme well in advance of the staging date with significant discounts on the implementation fees.

It is essential for all Businesses to be prepared, to ensure the changes required to internal systems are identified and that all parties, including any HR and/or payroll functions fully understand what is required of them. Employers need to fully understand their duties associated with these new pension requirements. They could be potentially time consuming, complex to manage and costly to administer. STAFFPLAN has been designed to meet all of your needs in providing a comprehensive auto enrollment solution.

An action plan for Employers is essential and Staff Plan is available to assist all businesses, irrespective of their size or structure, in meeting their obligations.

To comply, you must work out who’s affected and choose a pension scheme for them. You’ll have to communicate changes, enrol your workers into your scheme and make contributions.

Unfortunately there is a lot you must do.

You, as an employer are required by law to implement the following by your staging date:

• Assess eligibility of employees
• Manage contributions
• Register with the Pensions Regulator
• Ensure that inducements to opt out are not offered
• Ensure that existing schemes comply with all regulations
• Provide regular updates and employee communications
• Manage the initial enrolment process for all employees
• Keep accurate records of all the above
• Manage and update the opting in and out of employees

When does this all happen?

A: Now!

The government has set a number of ‘staging dates’. These are the final day on which employers must have an appropriate auto enrolment scheme in place. The Staging dates for businesses with more than 10,000 employees has already passed.

• Large employers 250+ workers October 2012 to February 2014
• Medium employers 50 to 249 workers April 2014 to April 2015
• Small employers 49 or less June 2015 to August 2017
• New employers will start automatically enrolling their workers from May 2017 to February 2018

Q: And if I miss my date?

A: You may have to pay heavy fines!

It is essential that Auto Enrolment is taken on board fully and appropriately as failure to comply will mean employers face the potential following
consequences:

• A “Wake up call” fine of £400
• 50-249 employees up to £2,500 per day
• Persistent offenders will have escalating fines
• 250- 499 employees up £5,000 per day
• 5-49 employees up to £500 per day

Businesses who consider that their staging dates are not yet a priority should take the time now to learn about Auto Enrolment and the effects it will have on them. STAFFPLAN has been designed to assist employers to meet their needs well in advance so that they can continue to run their business in the meantime with the confidence of knowing that when their time comes they will already have the necessary solution in place (and with a known cost).

Q: Can STAFFPLAN help?

A: Absolutely!

STAFFPLAN creates a partnership that encompasses every part of the journey facing businesses in Auto Enrolment. You as the employer can be confident in being compliant at your staging date and that you meet the rules and regulations that apply in the workplace pension environment.

Our consultants will create a tailored plan for your business and be with you through every step.

STAFFPLAN allows you to focus on managing your business

What are my next steps?

Q: What are my next steps?

A: Follow some simple and straight forward steps

1. Complete Your Staff Plan Master Trust Document – this sets up the trust that will hold the pension contributions and guarantees that you will have a scheme that meet Auto Enrolment regulations
2. Complete Your Employer’s Application – this ensures that we capture all of the information that we need to set up the scheme
3. Review Data Capture Document- this is an example spreadsheet of the employee information that we will require prior to your staging date – we can accept this in a variety of formats – contact us for more information
4. Direct Debit form

STAFFPLAN will:

• Provide a certificate- this shows you have an appropriate scheme
• Set up the trust
• Provide you with a web portal
• For reserved schemes this concludes the process until at least 6 months prior to staging. We will contact you and advise you of the requirements at that point. These are included below for active schemes
• We will prepare the auto-enrolment population
• We will notify all staff who will be auto- enrolled and advise them of their rights and how they can view their benefits
• All other eligible employees will be notified of their rights and we will manage their responses
• We will provide you with management information to complete appropriate deductions from payroll on a basis to suit your payment patterns
• We will manage any other questions you have regarding the running of the scheme via our website and dedicated helpline.