Not all Auto Enrolment Pension Scheme arrangements are the same – is it time to make sure yours is up to scratch?

All employers must automatically enroll their employees into a pension scheme. To help businesses fulfil this important obligation we offer a range of options and service levels with clear and transparent fees, giving you the opportunity to reduce some of the administrative burden of doing this in-house.

If you answer ‘Yes’ to any of the 5 questions below, it could be time to review your scheme and perhaps your provider.

1. Are you spending too much time dealing with problems with the scheme or scheme members? YES/NO
2. Is the default investment option suitable for the workforce?  Is it robust, transparent and is sustainability and the societal impact of the investments taken into account? YES/NO
3. Are member communications clear, simple and jargon-free? YES/NO
4. Is the range of retirement options available appropriate for your employees? YES/NO
5. Is the scheme cost effective rather than cheap? A scheme charge of 0.5% which includes assessment and communications can be better value than a scheme charging 0.3% where no extra services are provided. YES/NO

Poor excuses for not reviewing your scheme:

• I don’t want to pay a fee for the switch service
• It’s easier to stay put…..
• There will be too much admin involved
• I’ll have to use a new online dashboard or hub

Why consider changing provider?

• Lack of support and poor service from your provider
• Issues with the scheme are a drain on your business resources
• Poor member communications
• High employer and employee charges
• You would like a better quality scheme for your employees

A recent survey¹ found that ‘employees believe the ultimate responsibility for making sure they have enough income at retirement lies with themselves‘. This is why it is so important to give employees the opportunity to review their pension at least every 3 years.

We offer this service to auto enrolment clients at every review as while the employer provides the scheme and contributions and HMRC the tax relief, it is only the employees themselves who can actively make higher contributions to improve their retirement income.

^¹ Source: Royal London

Contact Christopher Booth on 0845 671 8999 or email him HERE for a complimentary initial chat with no obligation.