There are several things you will need to do to comply with auto enrolment requirements, including...
- Build anticipated costs into future budget projections, including costs of initial contributions, contribution increases, administration and running costs, and the cost of implementing a qualifying scheme
- Complete a workforce assessment which will show which worker category each employee falls into
- Communicate to employees
- Have a compliant pension scheme in place prior to their staging date
- Ensure that you have set up your scheme by your staging date, and that you remain compliant with the requirements set out by The Pensions Regulator
Many of your employer duties could be carried out on your behalf, either via payroll or your pension provider. It is therefore important to understand in advance of your staging date what their capabilities are. Auto Enrolment is being carefully monitored for compliance by The Pensions Regulator and HMRC, and companies found to be non-compliant, or raise any alarm bells (for example for high opt out levels), could be financially penalised, or receive custodial sentences.
For more information on the penalties which could be enforced please...