What is Automatic Enrolment?
Automatic enrolment is a new law with requires all employers – including nanny employers – to make sure they have a pension in place for their employee.
Most nannies will need to be automatically enrolled into the pension scheme, and both the nanny and the employer will have to contribute to it.
Most nannies do qualify; nannies who are aged between 22 and the State Pension Age and earn above the Tax Free Allowance (currently £10,000) will need to be automatically enrolled. A nanny who does not qualify to be automatically enrolled still has the right to ask to join a workplace pension.
If you started employing after 1st April 2012, you will not be affected until June 2015 at the very earliest.
To find out more about when the new legislation applies to you we recommend visiting Nanny Tax www.nannytax.co.uk/workplace-pensions/about-auto-enrolment or to speak to your employer.