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AE-pocalypse: Has the auto enrolment wave engulfed you yet?

Discussion in 'General Business Forum' started by Francois Badenhorst, Aug 4, 2016.

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How did you find the experience of enrolling your business?

  1. Seemless. I just picked Nest.

    1 vote(s)
    50.0%
  2. I shopped around, and think I got a good deal.

    1 vote(s)
    50.0%
  3. I was confused about my responsibilities and I'm uncertain about my master trust.

    0 vote(s)
    0.0%
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  1. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    Hey, Francois here. I'm the dep ed for UKBF.

    First - I'm gonna level with ya. This is for a story I'm researching.

    So, guys, how's auto enrolment gone for you? Anyone have some horror stories (Anyone been fined)? Or have things gone rather smoothly?

    Did you seek advice before enrolling? Or did you just use your own initiative?

    Tell me about your AE journey!
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #1
  2. GraemeL

    GraemeL Pain in the neck? Full Member - Verified Business

    5,081 1,091
    I have not a clue what 'ya' are talking about. There is no tick box for that?
     
    Posted: Aug 4, 2016 By: GraemeL Member since: Sep 7, 2011
    #2
  3. SteLacca

    SteLacca UKBF Ace Free Member

    1,513 297
    I can't really comment from the employer's perspective other than by extension. We have had two clients who has staged, now (one on the actual staging date and one postponed). Both set up the pension schemes themselves (Scottish Widows and The People's Pension), and neither seemed to have any problems. We do the assessment and pension comps, and for Scottish Widows we provide the upload file. For TPP we upload directly.

    In both cases it's been pretty easy sailing all around, it seems.
     
    Posted: Aug 4, 2016 By: SteLacca Member since: Jun 16, 2016
    #3
  4. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    So - you have no idea about auto enrolment?
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #4
  5. Paul Norman

    Paul Norman UKBF Ace Free Member

    2,553 772
    We spoke to a small number of advisors who set up a scheme for businesses. They have sorted the whole thing out for what is, to me, a reasonable fee. So all in all, much less of a headache than I had imagined.

    But for really small businesses, this is going to be expensive.
     
    Posted: Aug 4, 2016 By: Paul Norman Member since: Apr 8, 2010
    #5
  6. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    That's v interesting, SteLacca. So, as the accountant, you were quite involved in the process? Did you feel comfortable being involved?
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #6
  7. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    That's great info, Paul. Thank you! When you say 'advisors', are we talking IFAs here? You reckon you would've been able to tackle it yourself if you weren't willing to pay that fee?
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #7
  8. SteLacca

    SteLacca UKBF Ace Free Member

    1,513 297
    I get as involved as I need to. I prefer to leave the setting up of the pension scheme to the employer, though we have some very small employers due to stage in the next few months, and certainly for some of them I'll have to manage the whole process for them. I'm comfortable with it, just not over the moon about it.

    The actual assessment and calculation is all done in software, and so a doddle, really.
     
    Posted: Aug 4, 2016 By: SteLacca Member since: Jun 16, 2016
    #8
  9. Paul Norman

    Paul Norman UKBF Ace Free Member

    2,553 772
    Yes, effectively IFAs, many of whom have specialised in this.

    I am confident that tackling it myself would have been folly. There are some fairly proper penalties lurking for people who mess this up.

    In addition, given that I have to do this, I wanted a scheme that would offer some credible benefit to my staff.
     
    Posted: Aug 4, 2016 By: Paul Norman Member since: Apr 8, 2010
    #9
  10. GraemeL

    GraemeL Pain in the neck? Full Member - Verified Business

    5,081 1,091
    No. I see from above its something to do with pensions.
     
    Posted: Aug 4, 2016 By: GraemeL Member since: Sep 7, 2011
    #10
  11. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    Mmh, okay. Nice to hear from you anyway, Graeme! I actually need to PM you sometime re: me on the lookout for an office chair/my horrendous posture.
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #11
  12. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    It's the admin, I guess? What's the software if you don't mind me asking? And speaking to other accountants, do you know if they're comfortable with it as well?
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #12
  13. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    Did you initially think you'd be able to do it solo? Or was your instinct to go to an IFA immediately?
     
    Posted: Aug 4, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #13
  14. SteLacca

    SteLacca UKBF Ace Free Member

    1,513 297
    I use Moneysoft, simply because it just works without being expensive, though most commercial payroll software will deal with AE now.
    As for other accountants, it tends to depend on their background. As ex-Revenue and with time served in payroll, I'm pretty comfortable, and other accountants offering payroll or tax services tend to be comfortable.
    Accountants who concentrate more on just accounts less so, and they are more likely to subcontract it.
     
    Posted: Aug 4, 2016 By: SteLacca Member since: Jun 16, 2016
    #14
  15. Newchodge

    Newchodge UKBF Big Shot Free Member

    12,763 3,329
    I offer a payroll service. Most of my clients are very small businesses, who have left it to me to sort out for them. NEST is the easiest (and cheapest) option for them, especially given that their tiny number of employees are not going to opt in, or stay in a pension scheme.
     
    Posted: Aug 4, 2016 By: Newchodge Member since: Nov 8, 2012
    #15
  16. Paul Norman

    Paul Norman UKBF Ace Free Member

    2,553 772

    I did not consider doing it myself. By the time I had figured it out I could have been getting on with something else!
     
    Posted: Aug 4, 2016 By: Paul Norman Member since: Apr 8, 2010
    #16
  17. GraemeL

    GraemeL Pain in the neck? Full Member - Verified Business

    5,081 1,091
    OK now I see what it is. I don't have employees and I don't take a big salary from my businesses so this doesnt affect me. I cannot be alone in this position?
    PM by all means. I will be asking you to send me a picture so be warned!
     
    Posted: Aug 4, 2016 By: GraemeL Member since: Sep 7, 2011
    #17
  18. BustersDogs

    BustersDogs UKBF Ace Free Member

    1,298 239
    I've got another year until my staging date so I haven't even looked at it yet. Ask again in 18 months!
     
    Posted: Aug 4, 2016 By: BustersDogs Member since: Jun 7, 2011
    #18
  19. consultant

    consultant Your Business Community Staff Member

    5,484 759
    We are seeing the following:
    • too many businesses still have no idea about AE and the employers duties, some are missing their deadlines and incurring fines
    • Some businesses are waiting to the last minute to sort AE out, which results in them being seen as a distress purchaser and potentialy getting being excessive charges
    • Even those who are aware, do not realise that there are 2 parts to the process - the pension and the admin. Many are just opting for a simple pension e.g. NEST, without know their administrative duties (there are about 62 steps to get a workplace pension going, monthly payroll activity and constant workforce checking & liaison.
     
    Posted: Aug 5, 2016 By: consultant Member since: Jan 21, 2008
    #19
  20. Francois Badenhorst

    Francois Badenhorst Business Editor, UKBF & AWEB Staff Member

    91 18
    This is some very insightful stuff! May I ask, what part of the AE process are you involved in? Are you advising anyone on auto enrolment?
     
    Posted: Aug 5, 2016 By: Francois Badenhorst Member since: Aug 25, 2015
    #20
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