Pensions Autoenrolment
Due to the recent changes in the Pensions Act, all employers in the United Kingdom are now required to set up a workplace pension scheme for their employees, enroll them in an eligible pension plan automatically, and contribute towards it.
It is crucial to understand that this law also applies to individuals who hire nannies to work in their homes, even if they do not consider themselves as traditional employers. Nanny housekeeper’s is available to help you navigate this new requirement and ensure a smooth and straightforward enrollment process for your nanny.
Retirement Scheme:
If your nanny is younger than 22 or earns less than £10,000 per year, you are not required to contribute towards a pension. However, your nanny has the right to ask you to set up and contribute to a pension scheme. If they make this request, it is compulsory for you to make the necessary arrangements.
Enrolment in a pension scheme is required if your nanny satisfies the following conditions:
– Between the ages of 22 and State Pension Age
– Earns more than the minimum earnings threshold
– Qualifies for a pension
– Not already enrolled in a workplace pension scheme
Should you have any further questions or doubts regarding your nanny’s pension, please do not hesitate to contact us.
Is it advisable to register my nanny despite their recent start date of employment with me?
Should your nanny have worked for you for fewer than three months, there is no obligation to enroll them in a pension scheme. Nevertheless, if they wish to be enrolled or make contributions to a pension, you are required to honor their request.
When can I expect to receive communication from the Pensions Regulator?
The Pensions Regulator will reach out to you according to your PAYE reference, which dictates your staging dates. To begin preparing, you can discover your staging date by inputting your PAYE reference on the Pensions Regulator website.
Do I need to make contributions to a pension plan for my part-time nanny?
Even in the case of a part-time nanny, it remains essential for you to participate in a certified pension plan if they fulfill the mentioned eligibility criteria. This obligation is applicable to both permanent and temporary employees.
What will happen if I am unable to make a payment?
Failure to make the payments will result in a £400 penalty being imposed. Furthermore, you will still be required to make the outstanding payments.
Trustworthy support for your retirement savings.
Liveinnannylondon UK is available to provide support with establishing a pension scheme, which includes government-managed options such as NEST, as well as assistance with enrollment and comprehension of the necessary contributions. Please do not hesitate to reach out to us for further details regarding our auto-enrollment service.