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Pension Auto Enrolment and Workplace Pensions

Morgans are specialist pension and employee benefit advisers and can provide you with detailed information regarding an employer's obligations in respect of Auto Enrolment and Workplace Pensions. Please contact us now to discuss your situation in greater depth.

  • Previously, employers who had not reached their Auto Enrolment "staging date" had no compulsion to make any pension contributions, nor did their employees.
  • With effect from 1st October 2012, Workplace Pensions arrived, under which all qualifying employees must be entered into a pension scheme. Pension contributions must then be made by both employers and employees. The employee has the right to opt out.
  • Auto enrolment was phased in over several years, based on the number of employees, so that by 2018 all employers and employees were effected by the process. The table below indicates when employers had to commence auto enrolment:
Number of Employees Auto-Enrolment Obligations Commenced
120,000 or more October 2012
50,000-119,999 November 2012
10,000-49,999 Jan/Feb/Mar 2013
2,000-9,999 April,May,June,July,Aug 2013
250-1,999 Sept,Oct,Nov 2013 & Jan,Feb 2014
50 to 249 April 2014
Less than 30 Jan 2016 to Nov 2017
  • The actual contribution levels by both employer and employee themselves are phased in, starting at a low level and increasing over time.
  • Employers providing Group Personal Pensions Schemes and Group Stakeholder Pension schemes with contributions to the required level can arrange for these to be qualifying schemes for the purposes of satisfying the requirements.
  • All other employers could either establish a qualifying company sponsored pension scheme or subscribe to the new Government pension vehicle known as the National Employers Savings Trust, NEST.
  • NEST is intended to be a simple vehicle although does have several restrictions.