Contributions

Will The People’s Pension inform my employees their contributions will be increasing?

There is no legal requirement or additional duties for you to write to your staff about the increases. When a …

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Can my employees pay below the minimum?

Yes, however it’s up to you to remember to re-enrol these employees for automatic enrolment at your three-year re-enrolment date. …

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What happens if we don’t comply with the contribution increases?

This is a legal requirement – if a pension scheme doesn’t increase its minimum contribution levels in line with these …

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I’ve chosen to use certification – do I need to take any action?

If you’ve chosen to use certification, it’s possible that the certification period may include one or both of the increases …

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What are the minimum contribution rates if we’re using an alternative to qualifying earnings?

If you’re using an alternative to qualifying earnings and have chosen to use certification, levels of minimum contributions will also …

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If we’re already paying above the minimum contribution will anything happen when the contributions increase?

No. Nothing will happen and no action will need to be taken.  

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If we pay the full minimum contribution, do our employees have to pay anything?

No. There is no minimum contribution for employees – so for example, from 6 April 2019, you could pay in …

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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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When have the auto-enrolment minimum contribution rates increased?

Rates increased on 6 April 2018, and then increased again on 6 April 2019. Read what we’re telling employers about …

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What do the minimum contribution rates increase to if the qualifying earnings basis is being used?

The minimum contributions are being introduced in three stages known as phasing. If the qualifying earnings basis is being used, …

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