Recruitment and retention is a key challenge for the charity and not-for-profit sector, but a good pension scheme can help your charity attract and retain high-quality employees.
A professional employee benefits consultant can help you navigate the complexities surrounding workplace pensions and ensure that you meet your legal responsibilities whilst providing a suitable scheme.
How we can help you
Balancing the needs of your charity and employees can be difficult. Our team can help you set up a pension scheme that is legally compliant, affordable, and valued by your employees.
As we are independent, we can access to the whole market to provide your charity with a suitable, cost-effective workplace pension solution.
We can assist you in a number of ways.
- Pension scheme review – ensure your existing scheme remains suitable for your charity’s requirement.
- Pensions scheme setup – a new scheme that meets your legal requirements as an employer, as well as the needs of your employees.
- Salary exchange – help your employees to increase their pension contributions, whilst reducing your charity’s National Insurance contributions. This is a complex tax-efficient arrangement and requires a specialist.
- Employee education and engagement – improve your employee engagement by providing group presentations and 1-to-1s.
Our process
Our expert team will take the time to understand your charity’s objectives prior to recommending suitable solutions.
Your consultant will continue to review your arrangements throughout your ongoing relationship with us. This will ensure that they continue to meet the needs of your charity and employees, whilst remaining in line with pension legislation.
If you have any queries about your arrangements, your support team will be able to help you.
You will be provided with a full breakdown of charges to agree prior to the commencement of any work. We are an NCVO Trusted Supplier and NCVO members receive a 10% discount on our initial fees
1. Identify
Your consultant will work with you to identify what your charity wishes to achieve with your workplace pension arrangements.
2. Implement
Your support team will carry out thorough research to implement a suitable cost-effective workplace pension solution.
3. Review
Your consultant and support team will communicate with you periodically to ensure the ongoing suitability of your workplace pension arrangements.
FAQs
Take a look at the frequently asked questions below to find out more.
As an employer, you will need to decide what rate of contributions you will make and whether this will be a blanket rate across all your employees.
You must contribute a minimum of 3% of qualifying earnings as an employer. The total minimum contribution, including that of your employee, should equal 8% (inc. 5% employee contribution).
- The date of your employee’s enrolment;
- the pension scheme that they will be enrolled in;
- how much will go into their pension (as a proportion of their salary or as an amount); and
- how they can opt out of the pension, should they wish to do so.
You should also refer them to any resources supplied by the pension provider.
Be mindful not to give advice about a particular pension investment decision if you are not qualified to give financial advice. Instead, recommend them to a financial planner who will be able to give them more specific advice.
All employees should be given information regarding your workplace pension scheme. You may choose to refer them to resources regarding pension choices, but you should not give them advice about a particular decision as you are not qualified to give financial advice. Instead, you can refer them to a financial planner who will be able to give them more specific guidance or advice.
As the scheme is regulated and has a formal disciplinary process, you may be investigated by The Pensions Regulator (TPR) if you are found to have not completed your duties as an employer. They may take enforcement action such as compliance notices and penalties. If you have missed contribution payments, you will be ordered to backdate these, and they may enforce that you pay your employee’s missed contributions too.
Useful resources
Take a look at our useful resources below to find out more. Additional content is available via our resource centre.
Save money with salary exchange
Salary exchange could be a viable way to save on National Insurance Contributions. Read our article for more information.
Group income protection (GIP)
Group Income Protection policies can support your organisation and employees. Read our article for more information.
Reviewing your charity’s investments
Charitable investments are often fundamental to support the capital and income requirements of a charity. Read our fact sheet for more information.
