15 August 2016

What is automatic re-enrolment?

Please re-read this.

It isn’t enrolment. It’s re-enrolment! That’s right once you have complied with your duties at your staging date you must continue to maintain your continuing duties. Those duties include re-enrolling staff into the scheme.

Automatic re-enrolment occurs every three years and is in essence similar to the duties that an employer carries out on their staging date or deferral date if they used postponement.

An employer must re-enrol certain staff into a pension scheme that can be used for automatic enrolment, if they’re not already active members of one, every three years after their staging date.

The employer:

  • Should work out if they have anyone to re-enrol.
  • Must choose a re-enrolment date that falls anywhere within a six-month window. This starts three months before the third anniversary of their original staging date and ends three months after it.
  • Doesn’t need to inform us of their chosen re-enrolment date until they complete their re-declaration of compliance.
  • Must identify eligible staff, re-enrol them on their chosen date and start contributing to their pensions scheme from that date.
  • Must write to the eligible staff individually, within six weeks of their chosen re-enrolment date, to tell them how automatic enrolment applies to them.
  • Must complete a re-declaration of compliance within five calendar months of the third anniversary of their staging date.
  • Postponement (where your client may delay working out who to put into a pension scheme) cannot be applied at re-enrolment.

Need help with the Pension regulations contact Rachel Labercombe on 02392 388 003 or alternatively by email Rachel@helpboxuk.com.