About workplace pensions
A workplace pension is a way of saving for your retirement that’s arranged by your employer. Some workplace pensions are called ‘occupational’, ‘works’, ‘company’ or ‘work-based’ pensions.
How they work.
A percentage of your pay is put into the pension scheme automatically every payday. In most cases, your employer also adds money into the pension scheme for you. You may also get tax relief from the government.
Joining a workplace pension.
By 2018 all employers must provide a workplace pension scheme. This is called ‘automatic enrolment’.
Your employer must automatically enrol you into a pension scheme and make contributions to your pension if all of the following apply:
- you're classed as a worker
- you're aged between 22 and State Pension age
- you earn at least £10,000 per year
- you usually ('ordinarily') work in the UK (read the details guidance if you're not sure)
When your employer doesn’t have to automatically enrol you
Your employer usually doesn’t have to automatically enrol you if you don’t meet the previous criteria or if any of the following apply:
- you’ve already given notice to your employer that you’re leaving your job, or they’ve given you notice
- you have evidence of your lifetime allowance protection (for example, a certificate from HMRC)
- you’ve already taken a pension arranged through your employer
- you get a one-off payment from a workplace pension scheme that’s closed (a ‘winding up lump sum’), and then leave and rejoin the same job within 12 months of getting the payment
- more than 12 months before your staging date, you left (‘opted out’) of a pension arranged through your employer
- you’re from another EU member state and are in a EU cross-border pension scheme
- you’re in a limited liability partnership
- you’re a director without an employment contract and employ at least one other person in your company
You can usually still join their pension if you want to. Your employer can’t refuse.
For more information go to https://www.gov.uk/workplace-pensions/joining-a-workplace-pension
NCMUK has now launched its sister company Autoenrollment SOS who is dedicated to provide all support/assistance to its staff regarding all aspects of Autoenrollment. In this way our staff do not need to worry about any part of the Autoenrollment process.