Top 5 tips for auto enrolment

Auto enrolment, workplace pensions, these may well be terms that you have heard increasingly on TV adverts, radio stations and newspapers; notably on TV with people such as Karen Brady and Theo Paphitis stating that ‘They’re all in’.

The Pensions Regulator recently started writing to all employers telling them when they must comply by and this is known as their staging date. These letters are still being sent out and, to all businesses and you should have received yours by the summer of 2015.

1) “I don’t want to do it, it doesn’t apply to me so I’ll just leave it”

2) “When should I start planning for auto enrolment?”

In many cases it cannot and there may be costs to enable this option. Alternatively, if a pension provider does not see it as profitable to them, they will simply tell you that you must go elsewhere for a suitable scheme. Allowing time to liaise with pension providers is a key feature in the process and can often take time to resolve. Another problem here may be your payroll. Some software requires that you input the pension details 2 months prior to your staging date, this means that the scheme must be set up and in place at this point.

3) “I’ll just use Qualifying Earnings like everyone else”

There are four different methods to base your contributions on. The first, and most popular is Qualifying Earnings. This includes everything such as holiday pay, overtime and statutory sick pay between a band of £5,772 and £41,865 (2014/2015). The contribution levels for an employer can be phased from 1% depending on your staging date up to 3% by the 1st October 2018.

4) “What’s the cheapest scheme out there? That is the one I want”

With the new auto enrolment legislation, an employer must assess the workforce each pay run and communicate with their chosen pension provider anybody who has been enrolled into the scheme and what contributions need to be paid for each member. This process is typically done within payroll, however you must ensure that your payroll software will allow it, what they will charge for it and how long it will take.

5) “I don’t have time to stop and tell the workforce about it”

Certain communication to staff is a compulsory part of auto enrolment and not sending this out can result in fines from The Pensions Regulator. One of your employer duties is to communicate with your employees and promote participation in the scheme, and for this reason we suggest sending more than just the compulsory communications.

Many of our clients have taken up different services, some choosing to receive full advice and recommendation for the most suitable workplace pension scheme for their business, other choosing for us to help to set a scheme up and implement the data into their payroll software. We have also offered an ongoing service, supporting them with any employee queries, uploading their files to pension providers and carrying out a full annual review to ensure that the scheme remains suitable for their business.

Another popular service is our presentations to staff, communicating directly to them about what auto enrolment is, why it is here and what it will mean to them. This means that any questions they have can be directed to a Financial Adviser, rather than the employer who may not necessarily be able give a response. Auto enrolment has quickly become a minefield, and not one to be tackled half-heartedly. Our biggest tip, do not underestimate auto enrolment, it will not be disappearing so make sure that you are prepared and you understand the consequences of your decisions for your business.

Enjoyed this? Read more from Astute Wealth Management Ltd

Latest news

1

Growth Plan maps out £20bn-plus investment journey Mo Isap from the Lancashire Business Board with the plan

Growth Plan maps out £20bn-plus investment journey

18 Sep 2025

2

Post Office future secured as council explores new options Abington Street Post Office

Post Office future secured as council explores new options

17 Sep 2025

3

Airframe Designs supports new defence strategy with pledge to nurture talent Jerrod Hartley

Airframe Designs supports new defence strategy with pledge to nurture talent

17 Sep 2025

4

Fox Group makes second acquisition since Stellex Capital backing Roger Thistlethwaite, managing director NMS Civil Engineering Limited. Paul Fox, CEO Fox Group. John Flood, Executive Director Fox Group

Fox Group makes second acquisition since Stellex Capital backing

17 Sep 2025

5

Villa at Wrea Green bought for £3.6m by Haythornthwaite family The Villa Wrea Green courtesy of The Villa Wrea Green

Villa at Wrea Green bought for £3.6m by Haythornthwaite family

16 Sep 2025

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
LBV124 September/October Launch Event
MBP Arc Cinema Preston Opening 205
Networking
18 Sep 2025

LBV124 September/October Launch Event

The Arc Cinema, Preston, PR1 2BL

08:30 - 10:30

CMI Level 5 Management and Leadership Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Management and Leadership Course

Preston Campus, Preston , PR1 2HE

09:00 - 17:00

CMI Level 5 Project Management Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Project Management Course

Preston Campus, Preston, PR1 2HE

08:00 - 17:00

Ladies Lunch
Lancs-cham-logo.jpg.jpg
LBV Hub Networking
18 Sep 2025 - 18 Sep 2025

Ladies Lunch

Lancaster Golf Club, Lancaster, LA2 0AJ

12:00 - 16:00

Cumbria Business Expo 2025
https---cdn.evbuc.com-images-880461633-4862066883-1-original.20241022-110415.jpeg.jpg
LBV Hub Exhibitions
19 Sep 2025 - 19 Sep 2025

Cumbria Business Expo 2025

Carlisle Racecourse, Carlisle, CA2 4TS

09:00 - 15:00

Your Business, Your Region: Making sense of devolution and Local Government Reorganisation
Chorley Council breakfast event new
LBV Hub Networking
23 Sep 2025 - 23 Sep 2025

Your Business, Your Region: Making sense of devolution and Local Government Reorganisation

Worden Hall, Leyland, PR25 3DH

08:00 - 11:00

Preston Freelancer Meet-Up: September
Sept Freelancer (1).png.png
LBV Hub Networking
23 Sep 2025 - 23 Sep 2025

Preston Freelancer Meet-Up: September

Society1, Coworking Space, Preston, PR1 3LT

10:00 - 11:30

Speed Networking with BNI
2.png.png
LBV Hub Networking
24 Sep 2025 - 24 Sep 2025

Speed Networking with BNI

Chorley Football Club, Chorley, PR7 3DU

16:00 - 19:00

The Marketing Meetup IRL: Lancashire - September
TMM Lancashire
LBV Hub Networking
25 Sep 2025 - 25 Sep 2025

The Marketing Meetup IRL: Lancashire - September

Chorley, PR7 2SL

18:00 - 20:00

Making Tax Digital for Income Tax Self Assessment (MTD for ITSA) drop-in day
MTD drop in session.jpg.jpg
LBV Hub Seminars
25 Sep 2025 - 25 Sep 2025

Making Tax Digital for Income Tax Self Assessment (MTD for ITSA) drop-in day

Making Tax Digital for Income Tax Self Assessment (MTD for ITSA) drop-in day, Blackburn, BB1 5QB

10:00 - 16:00

The Marketing Metrics That Matter – Sept 25
Metris 25.09.png.png
LBV Hub Seminars
25 Sep 2025 - 25 Sep 2025

The Marketing Metrics That Matter – Sept 25

Door4 Office, Burnley Wharf, Burnley, BB11 1JG

09:00 - 11:00

Help to grow management course
Help to grow - barriers to growth.png.png
LBV Hub Seminars
26 Sep 2025 - 16 Dec 2025

Help to grow management course

Preston Campus , Preston , PR1 2HE

09:00 - 15:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin