Are your pension re-enrolment duties coming up soon?
Three years after a company’s staging date, employers must put all eligible employees back into a pension scheme if they have previously opted out of the scheme. This is called “re-enrolment”.
Firstly, employers must check whether they have any staff to re-enrol and ensure those who are eligible are put back into a pension scheme. Your payroll software can do this process automatically.
Secondly, you must write to staff that you have re-enrolled within 6 weeks of your re-enrolment date to advise them of their options.
Finally, even if you have no staff to re-enrol, you will need to complete a re-declaration of compliance to inform The Pensions Regulator that you have met your duties. This must be completed within five months of your re-enrolment date.
Re-enrolment gives staff who opted out of their workplace pension another opportunity to start saving for their future so it’s an important process.
The majority of employers will not have any staff to re-enrol, however they must still complete their re-declaration of compliance to confirm they have checked whether they need to re-enrol any of their employees. This is a legal requirement and failure to complete your duties could result in a fine.
If you would like to discuss re-enrolment duties or your pension scheme, please email us on email@example.com