Auto-enrolment pensions are now a requirement for all staff.

No excuses.

Even in the smallest of companies, the employer AND the employee have to make a percentage contribution to the pension.

And I’ve got to be honest – it makes sense.

We all know how pensions have taken a battering over the last few years, and it’s sensible of the government to ensure that every person who works is putting something away, and getting help to do it.

And the amount you have to pay as an employer is miniscule – currently only 2% of their salary (it is a bit more complicated than that, but that is a good rule of thumb).

So, I was amazed to read that in July 2018 The Pensions Regulator (TPR) announced a 68% increase in complaints, mostly comprised of employers attempting to have their employees opt out of pensions auto-enrolment!

What a bunch of skinflints!

With all this in mind, I thought it would be good time to point out that it is a CRIMINAL OFFENCE to try and persuade someone to opt out of auto-enrolment.

A criminal offence AND a £5000 fine.

And they don’t even have to have opted out for you to be convicted! Even just the attempt to get them to opt out is enough to land you in deep, deep trouble.

So, if you receive a request from an employee who wishes to voluntarily opt out of auto-enrolment (which is possible), deal with it properly to avoid prosecution.

If you follow TPR’s guidance on opting out of auto-enrolment to the letter, you’ll stay on the right side of the law.

http://www.thepensionsregulator.gov.uk/docs/detailed-guidance-7.pdf