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Is my client required to auto-enrol for pensions?

Does my client have to auto-enrol its one employee?

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My client has an employee (formerly also a Director) who has a pension pot which exceeds the Lifetime Allowance. Does my client still have to do auto-enrolement for this employee, even though contributions will attract a hefty tax charge?


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By lionofludesch
25th Apr 2019 14:53


The employee's affairs are none of the employer's business.

If the employee doesn't want to pay, he can simply opt out.

But that's up to him.

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By Moonbeam
25th Apr 2019 15:38

Just use Nest - it's free.

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By jcace
25th Apr 2019 16:00

If the employee meets all of the auto enrolment criteria, then yes. However, it should be possible to enrol the employee (say at the start of the month) and for him/her to opt out before the pay is processed (at the end of the month) meaning no contributions need be deducted or paid. But the opt-out would be in the hands of the employee.

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By Matrix
25th Apr 2019 16:14

Not if the employer has reasonable belief that the pension is protected.

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By memyself-eye
25th Apr 2019 17:42

jcace is correct The employee might decide that AE is pointless (due to his/her age, level of contributions etc)
An opt out before any deductions is quite possible.

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