December 21, 2022

Workplace Pensions & Auto Enrolment

Workplace Pensions & Auto Enrolment

Sleek v2.0 public release is here

Lorem ipsum dolor sit amet, consectetur adipiscing elit lobortis arcu enim urna adipiscing praesent velit viverra sit semper lorem eu cursus vel hendrerit elementum morbi curabitur etiam nibh justo, lorem aliquet donec sed sit mi at ante massa mattis.

  1. Neque sodales ut etiam sit amet nisl purus non tellus orci ac auctor
  2. Adipiscing elit ut aliquam purus sit amet viverra suspendisse potent i
  3. Mauris commodo quis imperdiet massa tincidunt nunc pulvinar
  4. Adipiscing elit ut aliquam purus sit amet viverra suspendisse potenti

What has changed in our latest release?

Lorem ipsum dolor sit amet, consectetur adipiscing elit ut aliquam, purus sit amet luctus venenatis, lectus magna fringilla urna, porttitor rhoncus dolor purus non enim praesent elementum facilisis leo, vel fringilla est ullamcorper eget nulla facilisi etiam dignissim diam quis enim lobortis scelerisque fermentum dui faucibus in ornare quam viverra orci sagittis eu volutpat odio facilisis mauris sit amet massa vitae tortor condimentum lacinia quis vel eros donec ac odio tempor orci dapibus ultrices in iaculis nunc sed augue lacus

All new features available for all public channel users

At risus viverra adipiscing at in tellus integer feugiat nisl pretium fusce id velit ut tortor sagittis orci a scelerisque purus semper eget at lectus urna duis convallis. porta nibh venenatis cras sed felis eget neque laoreet libero id faucibus nisl donec pretium vulputate sapien nec sagittis aliquam nunc lobortis mattis aliquam faucibus purus in.

  • Neque sodales ut etiam sit amet nisl purus non tellus orci ac auctor
  • Adipiscing elit ut aliquam purus sit amet viverra suspendisse potenti
  • Mauris commodo quis imperdiet massa tincidunt nunc pulvinar
  • Adipiscing elit ut aliquam purus sit amet viverra suspendisse potenti
Coding collaboration with over 200 users at once

Nisi quis eleifend quam adipiscing vitae aliquet bibendum enim facilisis gravida neque. Velit euismod in pellentesque massa placerat volutpat lacus laoreet non curabitur gravida odio aenean sed adipiscing diam donec adipiscing tristique risus. amet est placerat in egestas erat imperdiet sed euismod nisi.

“Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum”
Real-time code save every 0.1 seconds

Eget lorem dolor sed viverra ipsum nunc aliquet bibendum felis donec et odio pellentesque diam volutpat commodo sed egestas aliquam sem fringilla ut morbi tincidunt augue interdum velit euismod eu tincidunt tortor aliquam nulla facilisi aenean sed adipiscing diam donec adipiscing ut lectus arcu bibendum at varius vel pharetra nibh venenatis cras sed felis eget dolor cosnectur drolo.

What is an Auto-Enrolment Pension?

In 2012, the government recognized that retirement savings were inadequate among the UK population and introduced the concept of auto-enrolment to tackle this issue.

In simple terms, this scheme mandates that UK companies include all eligible employees in a pension plan. Both the employer and employee make contributions based on a percentage of the employee's salary during each payroll cycle. Employees do have the option to opt out if they prefer to handle their retirement savings independently.

Employers were assigned a "staging date" by which they were required to start enrolling eligible workers in the scheme. This date depended on the number of employees they had on the payroll in April 2012. The goal was to have all companies operating under this scheme by October 2018.

Eligibility for Auto-Enrolment Pension

Employees meeting the following criteria will be automatically enrolled:

  • Age between 22 and below the state pension age
  • Earning an annual income exceeding £10,000
  • Primarily working in the UK

As an employee of Borderless Payroll, your eligibility for the pension scheme will be determined based on these criteria.

Impact on Recruiters

Auto-enrolment holds significant importance for recruiters who engage with temporary workers on a Pay As You Earn (PAYE) basis. Recruiters bear the responsibility of enrolling these workers into a suitable pension scheme.

However, assistance is available to ease the burden.

How Can Borderless Payroll Assist?

If you choose a compliant umbrella company like Borderless Payroll, you're in luck. These providers act as genuine employers and are responsible for administering the workplace pension scheme, eliminating any concerns on your part.

When you become part of Borderless Payroll, you will automatically be enrolled in the company pension scheme. All contributions towards your pension will be made on your behalf.

For Limited Companies

Limited company contractors remain unaffected by these rules, provided they can demonstrate genuine self-employment. This means recruiters won't have any additional tasks related to pension enrolment in such cases.

Selecting an Umbrella Company

The primary consideration when choosing an umbrella company is to ensure they are a legitimate employer. Otherwise, you might still have to handle pension scheme administration and employer contributions, which defeats the purpose.

It's also advisable to assess the financial stability and compliance of the provider with pension regulations.

Support from Borderless Payroll

As one of the leading and well-established firms in this industry, you can rely on Borderless Payroll to take care of your contractors and help manage your administrative responsibilities. With years of experience serving contractors, we tailor our services to align with their busy schedules. We are committed to supporting both contractors and recruiters, ensuring peace of mind for all parties involved.

For more information on your financial matters or to understand how auto-enrolment pensions may affect you, our experts are available for assistance. Feel free to request a callback, and we'll get in touch promptly.

About the author

Peter has general oversight across all local payroll operations. He manages a small team of payroll administrators with expert knowledge in local jurisdictions.

Subscribe to our newsletter

Thanks for subscribing to our newsletter
Oops! Something went wrong while submitting the form.
Subscribe To Our Newsletter - Sleek X Webflow Template