The automatic enrollment earnings trigger determines at what point an eligible person gets automatically enrolled into a workplace pension. The qualifying earnings band sets minimum contribution levels for money purchase pension schemes. The minimum of the band is also relevant for defining who can opt in if they earn under the earnings trigger. The government … Continue reading Pension AE – Freeze continues for 2026
Category: Pensions
HMRC data shows that a size-able number of employers are applying the wrong tax relief basis to their workplace pension scheme. Some pension scheme members are consequently receiving double reliefs (within payroll and the pension scheme) they are not entitled to, others receiving reliefs when salary sacrifices are being operated (being reported as employee contributions … Continue reading Pensions: Net or Not?
The Department for Work and Pensions (DWP)…confirmed it will support proposals to expand Automatic Enrolment, enabling millions of people to save more and to start saving earlier. Jonathan Gullis MP’s Private Members Bill, backed today by the government, grants two extensions to Automatic Enrolment – abolishing the Lower Earnings Qualifying Threshold for contributions and reducing … Continue reading Pension Auto-Enrolment Bill passed to expand to both young and low earners
I am pleased to be able to let you know that I have today [26th January 2023] announced the outcome of the review of the Automatic Enrolment Earnings Trigger and Qualifying Earnings Band for 2023/24. The thresholds will be maintained at their 2022/23 values: The automatic enrolment earnings trigger will remain at £10,000; The lower earnings limit … Continue reading Pension AE Thresholds Frozen for April 2023
Collective Defined Contribution pension schemes, or CDCs for short, will offer an alternative to the UK’s two primary pension scheme models, Defined Contribution (DC) and Defined Benefit (DB).
Do you operate a banded pension scheme using qualifying earning? Have you checked that the start and end points meet the requirements in operation for pay reference periods commencing 6th April 2022. Since the introduction of pension AE the qualifying earnings Lower Threshold has matched the National Insurance Lower Earnings Limit (LEL). Often pension schemes would … Continue reading Check your Auto Enrollment Pension scheme
The Department for Work and Pensions has outlined proposals to enable automatic enrolment pension schemes to make greater use of performance-based fees, which are payable to an investment manager only if they generate high returns on their investments.
Hundreds of thousands of people will benefit from the new rules outlined by the Department for Work and Pensions (DWP) yesterday (Tuesday 9 November 2021), which will introduce a threshold at which pensions providers will no longer be able to charge a flat fee to savers.
Following its announcement in 2014, this measure increases the normal minimum pension age (NMPA), which is the minimum age at which most pension savers can access their pensions without incurring an unauthorised payments tax charge unless they are retiring due to ill-health, from age 55 to 57 in April 2028.