Minimum Contribution Increases (Phasing)

By law, minimum auto enrolment pension contributions are due to increase over time.

Minimum Contribution Increases (Phasing)

By law, minimum auto enrolment pension contributions are due to increase over time. This is known as phasing. The first increase will take place on 6th April 2018 and the second increase on 6th April 2019.

 

On the 6th April 2018, the total minimum contribution will increase from 2% to 5%. Employers will need to contribute a minimum of 2%. Employees will need to contribute the remaining 3%. Minimum contributions will undergo further increases on 6th April 2019, with the total minimum contribution rate increasing to 8%, representing a 3% employer and 5% employee contribution.

 

BrightPay 2018/19 and BrightPay 2019/20 will be able to seamlessly handle the respective increases, with various options depending on the different scenarios.

 

Watch our video to see how the above scenarios appear in BrightPay:

 

 

Share this content:

Share on Facebook Tweet Share on Google+ Share on LinkedIn Send email
 

BrightPay newsletter: