A Workplace Pension (Auto Enrolment) is a defined contribution Employer Pension Scheme. Employers are required to enroll all staff in a workplace pension scheme if they:
Once you have reached the above thresholds you will be automatically enrolled and will receive an e-mail promoting an online registration for access to your pension account.
If you choose to opt out you must first be enrolled, if you opt out within the first 30 days your contributions will be refunded to you. After this time your contributions will remain in your ‘pension pot’ for your retirement. Information on how to opt is available from your pension provider. If you do choose to opt out you will lose out on your employer’s contribution and the government’s contribution in the form of tax relief.
By law employers must re-enroll all employees back into the scheme approximately every three years, if they still meet the eligibility criteria.