The Pensions Regulator says more than 100,000 employers have already enrolled six million staff into a workplace pension since its launch in October 2012Clarke Nicklin Financial Planning are warning that Auto Enrolment is about to hit small and micro-employers.
The Pensions Regulator says more than 100,000 employers have already enrolled six million staff into a workplace pension since its launch in October 2012.
Non-compliance can lead to fines of £500 a day for employers with between five and 49 staff, and £50 per day for firms with up to four employees.
Scott Herbert, from Clarke Nicklin, says: “It is now coming to the busiest period reaching small and micro employers.
“Whether you are a hairdresser, an architect or you employ a personal care assistant, you have certain legal duties to offer a workplace pension to your employees.
It’s imperative to plan far enough in advance – 83% of firms with up to nine workers are still yet to stage and while most are on the ball and are compliant, some small employers are leaving preparations too late.
“Don’t get caught out. Take action sooner rather than later as it’s not going away and you could be left with a lack of choice in pension schemes and a lengthy lead time for set-up.
“Ideally seek specialist advice to ensure you are on the most cost- effective scheme long term.”