Set up and manage a workplace pension scheme

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How to set up a workplace pension scheme

You must set up a workplace pension scheme for eligible staff if you do not already offer one.

Use The Pensions Regulator바카라 사이트™s to find out what you need to do and when you need to do it.

If you already have a workplace pension scheme that you바카라 사이트™d like to use for automatic enrolment, you must ask the provider if it meets the rules.

How much you must pay

You must pay at least 3% of your employee바카라 사이트™s 바카라 사이트˜qualifying earnings바카라 사이트™ into your staff바카라 사이트™s pension scheme.

Check the pension scheme you바카라 사이트™re using to find out what counts as 바카라 사이트˜qualifying earnings바카라 사이트™.

Under most schemes, it바카라 사이트™s the employee바카라 사이트™s total earnings between £6,240 and £50,270 a year before tax. Total earnings include:

  • salary or wages
  • bonuses and commission
  • overtime
  • statutory sick pay
  • statutory maternity, paternity or adoption pay

Paying contributions

You must deduct contributions from your staff바카라 사이트™s pay each month. You바카라 사이트™ll need to pay these into your staff바카라 사이트™s pension scheme by the 22nd day (19th if you pay by cheque) of the next month.

You must pay your contributions for each employee by the date you바카라 사이트™ve agreed with your provider every time you run payroll. You must backdate any missed payments.

You may be fined if you pay late or do not pay the minimum contribution for each member of staff.

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Part of Get your business ready to employ staff: step by step

  1. Step 1 Decide what type of employee you need

    1. Check whether you need full time or part time staff
    2. Check the different types of employment status

  2. and Check you can afford to take on employees

    1. Check how much the National Minimum Wage is
    2. Find out how much National Insurance you need to pay for your employees
    3. Check how much sick pay your employees are eligible for
    4. You are currently viewing: Check how much you need to pay towards your employee's pension
    5. Check how much Maternity Leave you need to pay your employees
    6. Check how much Paternity Leave you need to pay your employees

  3. Step 2 Make your workplace safe and accessible for employees

    1. Prevent discrimination
    2. Make your workplace accessible for employees with disabilities or health conditions
    3. Keep employee information and data safe
    4. Fire safety

    You also need to make checks when you recruit and employ someone.

    1. Find out what you need to check when you employ someone

  4. Step 3 Register as an employer and set up PAYE

    You need to register with HMRC so you can pay tax and national insurance for your employees.

    1. Register as an employer and set up PAYE
    2. Choose how to run payroll
    3. If you decide to run payroll yourself, choose payroll software

  5. Step 4 Check your responsibilities around workplace pensions

  6. Step 5 Get Employers' Liability insurance

    1. Find out about Employers' Liability insurance

  7. Step 6 Recruit and employ staff

    1. Employ someone