[Finance] Workplace pension. Help requested..

[The Clamp]

Without knowing the rules, or where to look for them, I suspect that your employer has not only broken the law, but the law will say something like:

they have to put you in the position you would have been in, had they enrolled you at the correct time, and paid in all their contributions, and you had paid yours.

This means that your employer should pay in all the contributions they missed (and you must pay yours), PLUS the growth that the combined (missed) contributions would have achieved during the period your auto-enrolment had not taken place.

Good luck. This is your legal right. Auto-enrolment came in years ago. Don't accept any excuses.

Thank you. I find all this stuff draining and tend to write things like this off. But you’re correct and I will pursue this.

 

[WATFORD zero]

Thank you. I find all this stuff draining and tend to write things like this off. But you’re correct and I will pursue this.

Make sure you do. Could be worth a barge

 

[Flounce]

….

 

[Triggaaar]

There’s no way I can afford two years worth of pension contributions in one hit.

So in short, I guess I’m fcked?

No. This is their mistake, not yours. Although you're saying you have made a mistake by not noticing, that's not actually your legal responsibility. It doesn't matter that you didn't notice. They need to backdate payments and I assume cover lost growth. Someone else will give better advice than I can, but you are not f***ed.

 

[Hovegull]

It would appear a few have. I don’t have numbers yet.

No. This is their mistake, not yours. Although you're saying you have made a mistake by not noticing, that's not actually your legal responsibility. It doesn't matter that you didn't notice. They need to backdate payments and I assume cover lost growth. Someone else will give better advice than I can, but you are not f***ed.

Agreed and I bet they’d rather settle this way than through the courts and receive a very large fine

 

[Weststander]

No. This is their mistake, not yours. Although you're saying you have made a mistake by not noticing, that's not actually your legal responsibility. It doesn't matter that you didn't notice. They need to backdate payments and I assume cover lost growth. Someone else will give better advice than I can, but you are not f***ed.

and time the initial investing just after Trump has destroyed the stock markets.

 

[The Clamp]

Thank you all. It’s been one thing after another with work lately and this was a bit of a f*** in the guts today.

As always, NSC has made me feel much more positive and informed.

Thank you

 

[Cheshire Cat]

And ALWAYS check your bank statement for those little extra payments you know nothing about.

 

[Paulie Gualtieri]

I think as much as they are obliged to backdate their full contribution, it’s not mandatory for you to backdate yours.

Also don’t know if it’s been suggested but they should be returning you to the exact position you’d be in had they correctly enrolled you. To this regard any growth / return on investment that their pension fund made over the period should added to the contributions. Their provider will need to calculate the amount by simulating what your pot would have earned.*

* Just a thought with the orange one ruining the economy, not sure what the answer would be had the fund lost money and whether this would be passed on.

 

[DJ NOBO]

To those wiser than me;

I’m not very financially savvy so it’s taken me a long time to realise but I recently noticed that my work hasn’t enrolled me into the workplace pension. I’ve been employed full time for over two years.

I should have noticed way earlier but I’ve met the criteria for the pension for the last 2 years. But not been enrolled.

I raised the subject a few times over the last fortnight and finally got a reply.

Which amounts to

“Sorry we forgot, the last payroll manager we had was useless”

No offer to look into it or try and sort anything out.

I know I was negligent by not noticing. I’m very daft when it comes to numbers / finances etc.

Can they just say “sorry, we forgot” and that be the end of it?


It doesn’t seem right.

If you go about it through the right channels you’ll get your pension contributions.
And if they’ve got any sense they’ll quietly get on with resolving it, as it is, at the very least, a terrible look for your company. It actually sounds illegal.

 

[Shuggie]

As many people have suggested, the employer has to sort you out but does not necessarily have to cover your missed contributions. I’d imagine it will be more likely, the greater the number of people they have messed up.

Good luck!

The Pensions Regulator

 

[dazzer6666]

Thank you. I find all this stuff draining and tend to write things like this off. But you’re correct and I will pursue this.

Even if they tell you that you need to put your backdated contributions in, simply tell them you can’t afford it, at least not in a single lump sum. It’s their error, at worst they’ll have no choice other than to work out an arrangement.

 

[Cotton Socks]

My son had a (sort of) similar problem.... They were very sneaky though, as when they were giving him the contract paperwork to sign they slipped in a thing about the pension & he just signed it. He'd signed to opt-out. Luckily a few months later he asked me to open one of his payslips as he couldn't remember his NI number, as there was nothing on there about pension contributions I told him to ask. He was then opted in.
They've already said it's their fault, offer to pay your top up's to an amount that you can afford each month. You've done nothing wrong.

 

[Official Old Man]

Running a payroll myself (using Sage), when I employ anyone over 21 it automatically enrolls that person into a pension scheme, in my case it's Nest.
It is impossible for me to opt out of the scheme, the employee has to do this.
As for your contributions, you pay 5% of your salary but claim back 1% tax relief. So if your employer says you must pay the 5% they are wrong.
My guess is to get help from the pensions regulator

 

[Weststander]

Employers or their external payroll bureau would physically need to tick the opt out. But this must only be after explicit instructions from an employee, who knows the implications which might be letter. Not when a criminally furtive employer is behind it to save its 3% employers contribution.

 

[alanfp]

Presumably you've got your union on-board with this issue? If not yet, my advice is to talk to them ASAP. Should be helpful, especially if there are any discussions around "can we come to some arrangement about making up the employee's contributions".

 

[Comrade Sam]

I assume you aren't in a union, as that's who you should set on your employer.

 

[alanfp]

I assume you aren't in a union, as that's who you should set on your employer.

If not, TC, approach them ASAP.

Even if you're only triggered to join them by a current issue they will probably welcome you with open arms, because if they help you this time,, you will probably remain a union member for life.