Have you set up a pension scheme?
A third of small businesses still do not know what auto-enrolment is. One in four has missed its deadline for implementing a company pension scheme. Many small employers (employing only one or two staff) still do not believe they have an obligation to set up a pension scheme. From October this year, anyone setting up a business or taking on staff will have to pay pensions instantly.
Whether you are a hairdresser or an architect, if you employ at least one person you will have to put them into a pension scheme and pay into it from the start:
• Check that your employees meet the criteria for age (22 to state pension age) and salary (more than £10,000 per year)
• Choose a pension scheme that can be used for auto-enrolment. If you do not know where to start, the Pensions Regulator can guide you.
• Write to each member of staff and let them know how auto-enrolment applies to them.
• Complete your declaration of compliance online. You must do this within five months of the start of the scheme.