Pensions Auto-enrolment

Due to recent modifications to the Pensions Act, all employers in the United Kingdom are now required to establish a workplace pension scheme for their employees, automatically enroll eligible staff into a suitable pension plan, and contribute to it.

This legislation also applies to individuals who employ nannies, even if they do not consider themselves traditional “employers.” Afterschool Nanny  is here to help you navigate this amendment and ensure a smooth enrollment process for your nanny.

Pension Scheme Requirements

If your nanny is under 22 years old or earns less than £10,000 annually, you are not required to contribute to a pension. However, your nanny has the right to request that you set up and contribute to a pension scheme. If they do make this request, you must comply.

You are required to enroll your nanny in a pension scheme if they meet the following criteria:

– Aged between 22 and State Pension Age
– Earns more than the minimum earnings threshold
– Is eligible for a pension
– Is not currently enrolled in a workplace pension scheme

For any further questions or concerns regarding your nanny’s pension, please contact us.

Should I Register My Nanny Despite Their Recent Employment Start?

If your nanny has just started working for you, there is no obligation to enroll them in a pension scheme unless they specifically request it. However, if they do ask to be enrolled or to contribute to a pension, you must comply.

Timeline for Communication from the Pensions Regulator

The Pensions Regulator will contact you using your PAYE reference to establish your staging dates. To prepare, you can find your staging date by entering your PAYE reference on the Pensions Regulator website.

Pension Contributions for Part-Time Nannies

You must enroll your part-time nanny in a suitable pension scheme if they meet the specified eligibility criteria, regardless of their employment status as permanent or temporary.

Consequences of Missing Payments

If you fail to make the required payments, a fine of £400 will be imposed. Additionally, you will still be responsible for settling the outstanding payments.

Your Reliable Support for Retirement Savings

If you need assistance in establishing a pension scheme, including government-managed options such as NEST, as well as help with enrollment and understanding the necessary contributions, Afterschool Nanny  UK is here to support you. Please don’t hesitate to reach out for further details regarding our auto-enrollment service.