Employers are still making a number of common errors, just some of these include:
- using the wrong pension contribution tax relief method
- not correctly identifying elements of gross pay as qualifying earnings and as pensionable pay
- the use of postponement.
If you help your clients with their automatic enrolment duties, you may find our short video clips useful. The information may help your clients avoid making common errors and prevent risk of non-compliance that could be costly and result in unnecessary fines and/or penalty notices.
Compliance and re-declaration of compliance process
We have noticed some employers are late in submitting their first re-declaration of compliance or the information supplied is not always correct. We have updated our website to make the process easier.
Postponement and how it's used
Postponement is where your client can choose to delay the assessment process at their duties start date, for new starters or for those who meet eligible job holder criteria. Postponement does not change or delay the duties start date or declaration of compliance deadline. You can’t use postponement at re-enrolment.
What to do when pay elements aren't defined
If any pay elements haven't been correctly defined as being qualifying earnings and/or pensionable, your client will need to speak to their pension provider and establish the steps to rectify the problem as soon as possible.
What to do when the wrong tax relief method is used
Your client must tell any of their staff impacted by the error. It is very important that any errors are identified and fixed as soon as possible as the work and cost involved can be very significant if not found early.