The number of small firms planning to contribute more than the legislative minimum to their employees’ pensions has doubled in a year.
According to research by NOW: Pensions, 30% of the 400 SMEs surveyed plan to contribute more than the legislative minimum when they enroll their employees into a workplace pension. This compares to 17% of SMEs surveyed last year. Within that, 17% say they plan to pay more from the outset and 13% say they will pay the minimum initially and increase contributions over time. This is an improvement on 2014 when 8% of SMEs surveyed said they intended to pay more than the minimum with a further 9% stating they will pay the minimum initially with a view to increasing contributions over time.
In addition, over half of those who intend to pay more than the minimum say believe it will help with the recruitment and retention of employees. One in two hope that by contributing more, their employees will be encouraged to do the same.
The value of your investment can go down as well as up and you may not get back the full amount you invested. The value of tax reliefs depends on your individual circumstances. Tax laws can change.
Tags: auto enrolment, pensions
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More SMEs planning higher pension contributions
More SMEs planning higher pension contributions
July 14th, 2015• Comments Off on More SMEs planning higher pension contributions• Posted By Greenwood
The number of small firms planning to contribute more than the legislative minimum to their employees’ pensions has doubled in a year.
According to research by NOW: Pensions, 30% of the 400 SMEs surveyed plan to contribute more than the legislative minimum when they enroll their employees into a workplace pension. This compares to 17% of SMEs surveyed last year. Within that, 17% say they plan to pay more from the outset and 13% say they will pay the minimum initially and increase contributions over time. This is an improvement on 2014 when 8% of SMEs surveyed said they intended to pay more than the minimum with a further 9% stating they will pay the minimum initially with a view to increasing contributions over time.
In addition, over half of those who intend to pay more than the minimum say believe it will help with the recruitment and retention of employees. One in two hope that by contributing more, their employees will be encouraged to do the same.
The value of your investment can go down as well as up and you may not get back the full amount you invested. The value of tax reliefs depends on your individual circumstances. Tax laws can change.
Tags: auto enrolment, pensions