8 Steps to Auto Enrolment

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We list our 8 steps to complying with Auto Enrolment in our detailed yet simple presentation. If you'd like any more Auto Enrolment information then you can check us out at www.employee-benefit-consultants.co.uk/auto-enrolment/

Transcript of 8 Steps to Auto Enrolment

  • 1. 8 Steps to Auto Enrolment
  • 2. 8 Steps to Auto Enrolment success 1. Identifying your staging date 2. Planning 3. Opening a dialogue with your payroll provider 4. Cleansing your data 5. Assessing your workforce 6. Budgeting 7. Assessing your pension provider 8. Quality adviser support
  • 3. 1. Identifying your staging date The staging date is your deadline for auto enrolment Based on your payroll size as of April 2012 Check your staging date with your PAYE reference on TPRs website: # Employees Staging Date 90 or more 1st May 2014 62 to 89 1st July 2014 61 1st August 2014 60 1st October 2014 59 1st November 2014 58 1st January 2015 54 to 57 1st March 2015 50 to 53 1st April 2015 49 or below 1st June 2015 to 1st April 2017http://www.thepensionsregulator.g ov.uk/employers/tools/staging- date.aspx
  • 4. A note about postponing Staging date can be postponed for up to 3 months Employers may set different postponement periods for different staff categories A postponement notice must be issued within 1 month of staging date or sooner Employees can still opt in during a postponement period
  • 5. 2. Planning Early planning is vital AE Project Finance Payroll 3rd Party Advisers HR
  • 6. Collate data from employer. Identify HR / payroll processes, pay reference periods. Check contracts of employment (legal input?). Review existing pension arrangements. Nominate key roles and responsibilities. Can your business software support Automatic enrolment? Decide on Auto Enrolment Software . Decide on Auto Enrolment Scheme. Establish contribution costs, Salary Exchange included? Identify any changes to current HR/payroll processes. Data cleansing. Agree employee communications. Consult with staff re any changes to T&Cs. Detail project plan. Agree postponement period. Start employee communications Building and testing of Auto Enrolment Software. Implementation of agreed strategy, working with Auto Enrolment Software provider in parallel with payroll processes. Implement postponement and opt- out processes. Employee assessment. Communications to all types of worker. Process opt-outs, manage refunds, process opt-ins, monthly reports to providers. Register scheme with TPR. Ongoing compliance & record keeping, re-enrolment processes. Monitor ages and earnings , assess new starters. Planning 24m-12m Strategy 11m-7m Design 6m-4m Implementation 3m-1m Staging date and Ongoing Suggested timeframes
  • 7. 3. Opening a dialogue with your payroll provider Payroll must be compatible with auto enrolment requirements Ideally, your payroll system should have an automated exchange of data with your pension system Middleware
  • 8. Each employee will require between 32 and 36 fields of data depending on which pension provider you work with Thats a lot of data, so its important to begin dialogue with your payroll provider now to work out what data you should be collecting
  • 9. 4. Cleansing your data Often ignored but crucial Employee data must be complete, validated and up to date
  • 10. Employee information TPR may request Names Dates of birth Gross qualifying earnings NI numbers Contributions paid Employees auto enrolment date Pension(s) scheme information
  • 11. 5. Assessing your workforce Proposed 2014/15 Employee Categories AGE