Improvements to automatic enrolment to help employers
The Pensions Minister, Steve Webb, has brought in some amendments to the automatic enrolment rules. The amendments will make it simpler for employers to enrol their employees into a pension scheme.
The main changes are:
- Changing the definition of a 'pay reference period'. This makes it simpler for the employer to tell which employees need to be enrolled, and decide whether a pension scheme meets the quality standard.
- Allowing the employer longer to enrol staff, and to give information to staff - six weeks instead of one month.
- Allowing the employer to amend opt-out notices so that they are relevant to their staff.
- Clearer guidelines so that employers can easily tell whether their defined benefit scheme meets the quality standard.
Most of these changes will start from November 2013. The changes relating to the timescales start from 6 April 2014.
Our website gives further information about automatic enrolment. Click here to read more.
If you have any questions about any aspect of pension saving, please contact us using one of the following methods.