Auto-enrolment

Pension Reform Law is coming...and it will cost your business money!

In 2001, the Government introduced Stakeholder pensions in an effort to stimulate an increase in pension scheme membership within the workplace. It did not work. There are now thousands of designated company Stakeholder schemes receiving no pension contributions from either employer or employee.

So, just seven weeks after the closing ceremony of the 2012 London Olympics, we saw the birth of this Government's new workplace pension Auto-Enrolment. This replaced Stakeholder. All 'eligible jobholders' must be auto-enrolled into a pension scheme. Employer Auto-Enrolment 'staging dates' are being phased in dependent upon size of workforce.

Who are 'Eligible Jobholders'

  • These are your employees for whom you must pay employer pension contributions at a minimum rate of 2% of 'qualifying earnings'
  • The employee must be aged between 22 and State Pension Age
  • The employee must be earning at least £10,000 (2018/19)

The organisation responsible for the enforcement of auto-enrolment is The Pensions Regulator.

The Pensions Regulator has substantial powers and failure to comply with the rules could result in fines of up to £10,000 daily.

Employers are quickly starting to realise that the time, effort and costs involved in complying with the auto-enrolment legislation will be far more onerous than simply paying the few hundred pounds it cost them to apply for a Stakeholder Designation Certificate.

In these challenging times, most people running a business are far too busy to devote time to tasks such as reading the 240 pages of detailed guidance on The Pensions Regulator website.

Can anyone help?

The Ward Williams Financial Services Ltd Auto-Enrolment Service can help take most of the auto-enrolment work off your hands, so you can carry on your day-to-day business with minimal disruption and the peace of mind that your company will not face any fines.

Why Ward Williams Financial Services Ltd.

We are the Independent Financial Advice company for Ward Williams Chartered Accountants.

We help their corporate clients establish efficiently run pension schemes. The increased level of monitoring and processing required under auto-enrolment is going to test the core functionality of many payroll systems. Working alongside accountants gives us valuable access to knowledge and experience in this area.


Our Pension Auto-Enrolment Service includes:

INITIAL REPORT: outlines your obligations and duties under the auto-enrolment rules and gives you an indication of the likely cost of compliance to your business. This report will be prepared on a fixed fee based upon the size of your workforce and structure of your company.

PENSION AUDIT: a review of any existing company pension arrangements to ascertain whether these meet the auto-enrolment criteria. Whether or not you currently operate a company pension scheme, we can help you decide the best way forward.

RECOMMENDATION REPORT: a comprehensive report to include clear recommendations and detailed costs of scheme implementation and maintenance.

IMPLEMENTATION SERVICE:

Ward Williams Financial Services Ltd will:

  • check which workers meet the auto-enrolment criteria;
  • help you establish an auto-enrolment friendly pension scheme or, where appropriate, help you make the necessary changes to your existing scheme;
  • help you decide whether you should run a more sophisticated scheme for higher earners
  • ensure all 'eligible jobholders' receive details of pension scheme membership, contributions and deductions;
  • communicate to employees to ensure they understand and value the benefits;
  • advise employees on investment options and the consolidation of past pensions;
  • ensure you register your auto-enrolment scheme with The Pensions Regulator to confirm you have fulfilled your auto-enrolment duties

ONGOING SERVICE:

Member Support

  • Conduct a pension surgery at your worksite once a year. This will provide members and non-members with the opportunity to receive advice around the scheme and their own particular requirements.
  • Ongoing advice to members on contributions, investment funds, legacy pensions etc;
  • Ongoing support service for member queries, including target retirement funding;
  • Leaver packs and advice;
  • Advice and guidance on the payment of benefits on death of a member;
  • Retirement counselling;
  • Assistance with obtaining the most favourable income in retirement.

Employer support

  • Monitor communications between the scheme administrator and the pension provider to ensure the scheme operates efficiently and remains compliant;
  • Employer meetings;
  • Contribution payment assistance and monitoring of timely payments to provider;
  • Response to scheme queries;
  • Response to general queries;
  • Advice on changes in pensions regulation, legislation and taxation.

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AUTO-ENROLMENT WILL AFFECT YOUR BUSINESS.
WARD WILLIAMS FINANCIAL SERVICES LTD ARE HERE TO HELP.

WHAT TO DO NEXT

An initial consultation can be arranged free of cost or obligation to your company.

Please call 01932 830664 to arrange your consultation with one of our pension advisers.

Alternatively, please email wwfs@wardwilliams.co.uk confirming your interest and one of our advisers will call you to arrange your consultation.