Contributions

Are the contributions paid by ‘Relief at Source’ or ‘Net Pay Arrangement’?

When you set up your workplace pension with The People’s Pension, you can choose to deduct your employees’ contributions from …

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As the employer, do I have to match the employee contribution?

No. An employer doesn’t have to match employee contributions. Currently, the minimum contribution is 5% of qualifying earnings, of which …

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Can an employee reduce their pension contributions?

Pension savings can be a very effective way to save for the future. Your employee may not be aware of …

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Can employees and/or employers pay more than the legal minimum contribution?

Yes, both the employer and the employee can choose to contribute more than the legal minimum requirement. To do this …

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Can I contribute for employees who’ve reached age 75?

Yes, although they won’t be able to receive tax relief on their pension contributions after age 75. Please note that …

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Can I increase contributions to the new minimum levels before 6 April 2019?

Yes, you can decide to increase your contributions to the new minimum levels before 6 April 2019. For example, to …

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Can I set up the employee contribution as a fixed amount and employer contribution as a percentage?

No. Our system cannot cater for this. Both employee and employer contribution rates need to be the same format – …

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Can my employees pay below the minimum?

Yes, an employee can choose to pay below the minimum. If they do, then you aren’t obliged to contribute if …

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Can we use salary sacrifice if this takes the employee’s salary below the minimum wage?

A salary sacrifice arrangement can’t reduce an employee’s earnings below the national minimum wage rates. For more details see www.gov.uk/guidance/salary-sacrifice-and-the-effects-on-paye.

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Can you accept contributions net or gross?

When you set up your workplace pension with The People’s Pension, you can choose to deduct your employees’ contributions from …

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