Cost of auto-enrolment set to rise
Posted on in Business News
From 23rd November one of the main preferred pension providers for small businesses - The People's Pension - will start to charge businesses a one-off fee to join their auto-enrolment scheme.
Employers using The People's Pension for auto-enrolment will face a one-off £500 charge if they fail to sign-up before 20th November.
Other pension providers plan to introduce "administration fees" for small businesses. This is despite the fact that the same firms offer pensions to large employers free of charge.
The providers say this is because providing pensions to small and micro businesses is "commercially unviable" unless they raise their prices.
A spokesperson for Now Pensions, another provider looking to introduce fees, says ‘Small employers tend to need more help and support so the fees will be to cover that. It will not affect anyone who has already signed up."
After 23rd November any businesses going directly to The People's Pension will pay £500 plus VAT while employers who go through an adviser will save £200, paying £300 plus VAT.
To help you avoid extra charges, ActSmart have partnered with Copthorne Hundred Wealth Management, a Partner Practice of St. James's Place Wealth Management to provide businesses with a free consultation to discuss your pension needs. Starting this process before 20th November will enable you to save on initial set-up fees. Starting the sign-up process after this date, but through our advisor, Copthorne Hundred, will cost you £300 + vat.
St. James's Place Wealth Management are one of the leading wealth management organisations in the UK with a national network of advisers. Using their experience, they offer businesses and individuals a wealth management service, incorporating pension advice. The advice is face-to-face and tailored to your business or personal objectives.
- Complimentary initial consultation
- Face-to-face advice
- Impartial advice
- Advice is guaranteed by St. James's Place when recommending any products or services provided by the St. James's Place Group
Phone Elliott Sanders's team on 01372 721 616, email Elliott.Sanders@sjpp.co.uk or complete the enquiry form here.
