Pension postponement made easy
Auto-enrolment can be quite a headache to get right, even before you factor in pension postponements. From assessment to enrolment, notification letters to opting out, there is a lot to juggle and you have to be ready from the first day (duties start date) you employ someone. To help you keep on top of client pension obligations, KeyPay offers automated pension postponement rules for client employees.
What is pension postponement?
When clients take on their first employee they need to be able to provide a workplace pension and then assess the employee to see if they need to be enrolled in your pension scheme. KeyPay makes this easy for bureaux to manage for clients with KeyPay’s built-in auto-enrolment and assessment features – so can make your clients life even easier!.
Once an employee has been assessed as an eligible job holder the employer has the right to postpone the enrolment which will defer the date the employee is enrolled in the pension scheme. Bureaux may want to choose postponement on if their clients have temporary employees or low earning employees that have occasional spikes in their pay that would make them eligible. KeyPay gives bureaux the tools to have this conversation and offer this extra service yo their clients, lending more value to the payroll bureau.
Postponement options are available in the following circumstances:
From the duties start date.
An employee’s start date.
Date employee first becomes eligible.
Bureaux can then postpone employees from enrolling into the pension scheme for up to 3 months. Once the client has hit the 3 months you MUST enrol your clients the employees if they are an eligible jobholder, you cannot apply another period of postponement.
How do you postpone employees in KeyPay?
Postponement is quick and easy to set up with bureaux able to configure each contribution plan specifically to their client’s employee with managers able to set a postponement for up to a maximum of 3 months with a few clicks this is especially useful if none of the rules against the pension scheme are quite what you’re after.
How it all comes together
When you create a pay run, your client’s employees will be assessed and postponement will be applied to any employees that meet the postponement rule requirements with the system automating everything including sending out postponement letters to employees. Once the deferral date comes around, employees will be assessed in the pay run and if required enrolled in the pension scheme all automated saving considerable time for your clients.
Postponement made easy!
So to recap, you can use the pension postponement rules in KeyPay to automatically postpone your client’s employee pension enrolments or select a deferral date your client’s employees. Once the postponement or deferral date has been hit, KeyPay will re-asses the employee and take the appropriate action..
How easy is that?
If you have any questions on pension postponement in KeyPay you can find out more here, or try KeyPay free for 30 days to see how your pension obligations can be made easy!
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