Jay Financial Step by Step Auto Enrolment Implementation of auto enrolment
Presenter: Jackie Fancourt
Preparation is key
• Avoid unnecessary administration • Minimise objections from employees • Good outcomes for both the employer and the employee.
Your Action Plan
Initial Plans – the staging date and postponement Staging – always on 1st Month 6 April – thresholds change Factory shut down/ schools and colleges Year end/ salary reviews More than 1 staging date Payroll software Peak time of year/ seasonal staff.
Postponement What is it? The facility to defer your AE duties by up to 90 days at the staging date employment date if after staging date a worker becomes an eligible jobholder after staging Why? To phase in groups of workers Temporary workers or those who leave shortly after employment Employees with rare spikes in earnings Align AE with pay period/ Maximise the opt out period/ Minimise the refunds
Designing the Pension Scheme • 3 acceptable alternative definitions:
Total earnings Basic earnings
41,865
<15% >15%
Basic earnings
10,000 Earnings ÂŁ
5,772
8%
7%
8%
9%
3% employer
3% employer
3% employer
4% employer
41,736
42,472
34,899
46,532
0 Minimum
SET 3
SET 2
SET 1
Designing the Pension Scheme The importance of an annual review Reducing administration Review the scheme, systems and software Update your certificate Communicate with the staff Line it up with re-enrolment or salary reviews
Before Staging Communicate with your staff in addition to the statutory letters • • • • •
Questionnaire – Example: Duffied PC Designated notice board/ intranet page Download posters and fact sheets Newsletter article/ staff meetings Notes on payslips
Before Staging - Software
It isn’t the answer to everything! • Outsourced payroll/ payroll software • Middleware software • Provider software
At Staging Set aside time to deal with queries and glitches Issue letters promptly Put notices up
Summary • • • • •
Understand your duties Plan ahead Keep it simple Use the free resources available Keep your staff well-informed
• Get professional help when you need it
The small print Training
Advice
Not just what to do how to do it
For you and your employees
The information provided is based on our current understanding of the Pensions Acts and associated regulations. These may be subject to alteration as a result of changes in legislation or practice. All statements concerning the tax treatment of products and their benefits are based on our understanding of current tax law and Her Majestyâ&#x20AC;&#x2122;s Revenue and Customs (HMRC) practice. Levels and bases of, and reliefs from, taxation are subject to change. Jay Financial: 2 Greenfields, Waterfallows Lane, Linton, Derbyshire. DE12 6PF. Partners Jacqueline Fancourt and William George Fancourt (non advising).Jay Financial is authorised and regulated by the Financial Conduct Authority. Reference Number: 450655 Step by Step Auto Enrolment Ltd. Registered Address: 2 Hilliards Court, Chester Business Park, Wrexham Road, Chester. CH4 9PX