How much do you know about auto-enrolment?
Government reforms to employee pension schemes now mean that, if you are an employer in the UK, you have a legal obligation to put certain staff into a workplace pension scheme and contribute towards it.
For example: From 6 April 2019, employer contributions are set at a minimum of 3%, and member contributions at 5% (this receives basic rate tax relief). Therefore, the total minimum contribution = 8%.
As a company director or business owner, you will need to understand what “automatic enrolment” is, who it applies to and how you need to manage it for new and existing staff.
You also need to be fully aware of the consequences for you and your business if you fail to comply.
If you employ staff and want to know more about auto-enrolment and workplace pensions, contact us today.
The value of a pension will be directly linked to the performance of the funds you select and the value can, therefore, go down as well as up. You may get back less than you invested.
The levels and bases of taxation, and reliefs from taxation, can change at any time. The value of any tax relief depends on individual circumstances.
