First introduced back in October 2012, the staggered roll-out of Automatic-Enrolment was finally completed in March 2018 when the last groups of small and micro employers were required to comply.
Since October 2017, all new employers have had immediate pensions duties requiring them to automatically enrol eligible employees into a qualifying pension scheme.
In addition, the current legislation also requires employers to re-enrol eligible staff, who left their pension or reduced their contributions, back into a compliant scheme every three years (typically the third anniversary of their original staging date, if applicable).
Employers must also complete and submit a re-declaration of compliance to tell The Pensions Regulator (TPR) how they have met their re-enrolment duties, even if they do not have any workers to re-enrol.
Re-enrolment and re-declaration are legal requirements and a failure to comply could result in a fine.
As thousands of small and micro employers are reaching their re-enrolment dates in the coming months, TPR has now launched a new online tool to make the process easier.
The tool asks a series of questions and employers’ answers will enable them to find out what they need to do and by when.
Director of Automatic Enrolment Darren Ryder said: “Re-enrolment gives staff who opted out of their workplace pension a fresh chance to start saving so it’s an important task.
Automatic enrolment has led to millions of new savers and we want to ensure this success continues. Our online re-enrolment tool will help employers continue to meet their legal duties so that staff continue to have the opportunity to save.”
The launch of the new tool coincides with research by TPR that shows business advisers continue to play a vital role in assisting employers with their automatic enrolment duties.
The Adviser Engagement with Automatic Enrolment Survey 2019 shows that more than 92 per cent of accountants, payroll administrators and bookkeepers assist their small business clients with automatic enrolment.
Elaine Shaw, Payroll Manager at George Hay, said: “We played an instrumental role in getting many of our clients ready to comply with their auto enrolment obligations.
Even after their staging dates had been and gone, we remained a reliable source of support and advice for employers getting to grips with the new legislation.
Now, almost three years on from some of the very first staging dates, businesses should be aware of the requirement to comply with ongoing re-enrolment duties.
Mis-understanding the importance of these duties can be detrimental to an employer’s and a company’s reputation, so it pays to seek professional advice if you are unsure about what you should be doing.”
How can GH Payscheme help?
At GH Payscheme, George Hay’s specialist Payroll Bureau in Bedfordshire, Hertfordshire and Cambridgeshire, our team can assist you with administering your chosen workplace pension scheme and can help you to ensure that you are always compliant with all of the requirements of Automatic Enrolment and re-enrolment.
To speak to one of our payroll professionals today, call us on 01767 315010.