Auto-enrolment pensions


Minimum contribution amounts payable into auto-enrolment pensions are required to gradually increase at set times.


From 6 April the total minimum contribution increased from 2% to 5% of qualifying earnings and will rise again on 6 April 2019 to a total minimum amount of 8%. 


From this April, the minimum contribution from an employee rises to 3% from 1%, while for the employer it rises to 2% from 1%.


From April 2019, the minimum from an employee rises to 5% and for the employer to 3%.


The employer and member of staff can each choose to pay more than the minimum contributions if they wish. If the employer contributes more than their required minimum amount — but less than the total minimum amount — then the employee only needs to make up the shortfall between the total minimum and the employer contribution.


www.thepensionsregulator.gov.uk/doc-library/increases-in-minimum-contributions-automatic-enrolment.aspx