• April 2018

    FriSatSunMonTueWedThuTax week
    --1   2   3   4   5   52
    6   7   8   9   1011121
    131415161718192
    202122232425263
    27282930---4
    • 6th - Start of 2018-2019 tax year
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 2nd - Easter Monday (E,W,NI)
  • May 2018

    FriSatSunMonTueWedThuTax week
    ----1   2   3   4
    4   5   6   7   8   9   105
    111213141516176
    181920212223247
    252627282930318
    • 7th - May Bank Holiday (E,W,NI,S)
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 28th - Spring Bank Holiday (E,W,NI,S)
    • 31st - Employee P60s due
  • June 2018

    FriSatSunMonTueWedThuTax week
    1   2   3   4   5   6   7   9
    8   9   101112131410
    1516171819202111
    2223242526272812
    2930-----13
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
  • July 2018

    FriSatSunMonTueWedThuTax week
    --1   2   3   4   5   13
    6   7   8   9   10111214
    1314151617181915
    2021222324252616
    2728293031--17
    • 6th - Forms P11D, P11D(b) and P9D due
    • 6th - Form 42 Due
    • 12th - Battle of the Boyne - Bank Holiday (NI)
    • 19th - HMRC cheque payments due
    • 19th - Payment of 2017/18 Class 1A NIC due
    • 22nd - HMRC BACS payments due
    • 31st - Payment of 2017/18 Class 2 NIC due
  • August 2018

    FriSatSunMonTueWedThuTax week
    -----1   2   17
    3   4   5   6   7   8   9   18
    1011121314151619
    1718192021222320
    2425262728293021
    31------22
    • 6th - Summer Bank Holiday (S)
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 27th - Summer Bank Holiday (E,W,NI)
  • September 2018

    FriSatSunMonTueWedThuTax week
    -1   2   3   4   5   6   22
    7   8   9   1011121323
    1415161718192024
    2122232425262725
    282930----26
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
  • October 2018

    FriSatSunMonTueWedThuTax week
    ---1   2   3   4   26
    5   6   7   8   9   101127
    1213141516171828
    1920212223242529
    262728293031-30
    • 5th - Personal Income Tax Statement
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 31st - Paper Self Assessment Tax Return Deadline
  • November 2018

    FriSatSunMonTueWedThuTax week
    ------1   30
    2   3   4   5   6   7   8   31
    9   10111213141532
    1617181920212233
    2324252627282934
    30------35
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 30th - St. Andrew's Day (S)
  • December 2018

    FriSatSunMonTueWedThuTax week
    -1   2   3   4   5   6   35
    7   8   9   1011121336
    1415161718192037
    2122232425262738
    28293031---39
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 25th - Christmas Day
    • 26th - Boxing Day
  • January 2019

    FriSatSunMonTueWedThuTax week
    ----1   2   3   39
    4   5   6   7   8   9   1040
    1112131415161741
    1819202122232442
    2526272829303143
    • 1st - New Year's Day
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
    • 31st - Online Self Assessment Tax Return Due
  • February 2019

    FriSatSunMonTueWedThuTax week
    1   2   3   4   5   6   7   44
    8   9   101112131445
    1516171819202146
    2223242526272847
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
  • March 2019

    FriSatSunMonTueWedThuTax week
    1   2   3   4   5   6   7   48
    8   9   101112131449
    1516171819202150
    2223242526272851
    293031----52
    • 17th - St. Patrick's Day (NI)
    • 19th - HMRC cheque payments due
    • 22nd - HMRC BACS payments due
UK Tax Week

   14 Dec - 20 Dec

73

 

Auto Enrolment - UK Pensions Shake Up

No comments

Summary

Following on from Sargent-Disc's participation on Her Majesty's (HM) Revenue and Customs, Real Time Information pilot, we now bring you an introduction to Auto Enrolment pensions.

Auto Enrolment

HM Government, Department of Work and Pensions (DWP) launched Auto Enrolment in October 2012. It is being described as the biggest shake-up of pensions in a generation, because it will push millions of employees into saving for their retirement for the first time.

Auto Enrolment is aimed at encouraging employees to save into workplace pensions to provide for a comfortable retirement. People are living longer, yet pension saving in the UK is in decline. The Government estimates that seven million people could be under-saving for their retirement.

 

When does it start?

Auto Enrolment is being introduced over a 6 year period. It started with the UK's largest companies in 2012, with most small and medium sized companies required to enroll their employees between April 2014 and May 2015. To view the auto enrolment staging date calendar click here >.

 

How does it work?

The pension reforms require employers to automatically enrol, into a workplace pension scheme, workers aged 22 and over, earning £8,105 per annum or more. Those that do not wish to take part will have one month to submit an 'opt out notice' to their employer.

For workers aged between 16 and 75, those earning over £5,564 can choose to opt into the scheme. Those earning less can request to join a pension scheme and whilst the employer must provide a pension scheme they do not have to follow the auto enrolment process in that instance. Also, if an employee earns more than £5,564 the employer is required to make a contribution, but if they earn less the employer is not obliged to do so.

 

Eligible jobholders must be automatically enrolled
Aged 22-State Pension Age, working in UK, earning above £8,105*

Non-eligible jobholders have a right to opt in
Aged 16-21 or State Pension Age-74, working in UK, earning above £8,105 Aged 16-74, working in UK, earning above £5,564* but below £8,105

Entitled workers have a right to join
Aged 16-74, working in UK, earning below £5,564

*£5,564 Lower earnings level for qualifying earnings
*£8,105 Earnings trigger for automatic enrolment

(Figures for 2012-2013)

 

Payments by employees are enhanced by contributions from their employer and government. In 2012 the minimum contribution of 2% will be split equally between the employer and employee, rising to 8% of gross salary in October 2018, split between the three partners.

  • Employer - 3%
  • Employee - 5% - on which government tax relief is available, subject to eligibility.

Employers without an existing workplace pensions scheme, will need to choose a scheme for their employees - and will need to take advice in identifying a suitable provider.

 

Pension Schemes

Under Auto Enrolment employers are requried to offer a qualifying scheme to their workers and to register with the Pension Regulator. Pension schemes fall into four core categories:

•              Defined benefit scheme

•              Defined contribution (DC) scheme

•              Contract-based DC schemes

•              Stakeholder pensions.

In addition, employers can choose a 'Hybrid Scheme' which enables them to offer different categories of pensions to specific groups of employees.

There are a range of pension providers that offer Auto Enrolment qualifying pension schemes including the National Employers Savings Trust (NEST) Corporation, a non-departmental public body set up specifically to offer a workplace pension for Auto Enrolment. The Personal Accounts Delivery Authority, created as part of The Pensions Act 2007, developed and established the NEST Corporation in 2010.  NEST is accountable to Parliament and offer an occupational money purchase scheme to enable employers to meet their new obligations.

 

DWP Call for Evidence

Pension providers, trade unions and associations, consumer groups and charities are considering systems by which employees' pensions can be moved between employers and the DWP has published a call for evidence on auto-enrolment to influence future development. The closing date for contributions is the 28th of January 2013. Find out more here >.

 

Useful Links

The Pensions Regulator >

National Employers Savings Trust >

 

Contact us

For more information about Auto Enrolment contact us >

 

No comments