Employee benefits cover various types of non-wage remuneration provided to workers in addition to their normal wages. Examples of benefits include:
• Group Private Medical Insurance
• Group Life Assurance
• Group Income Protection
• Group Critical Illness
• Group Personal Pension Schemes
• Auto Enrolment
The purpose of Employee Benefits is to increase economic security of workers and improve worker retention.
Beacon Wealth Management Ltd can help you to retain and recruit high calibre employees by putting into place effective benefits that are clearly communicated and appreciated by your workers. We take the time to build a relationship with our clients and understand their needs. Through the development of this relationship we will be able to identify a cost effective strategy by looking at what the whole of the market has to offer, that fits your criteria.
The Government legislation requiring all employers to provide a workplace pension was initially introduced in 2012. All companies now need to comply with these rules. In general, the minimum level of required pension contribution equates to 8% of qualifying earnings an there are a number of definitions that an employer can choose to adopt. Commonly, minimum contribution levels are most typically split between an employer contribution of 3% and an employee contribution of 4% of pensionable earnings, with the remaining 1% coming as a tax rebate from HMRC.
The workplace pension market has continued to evolve since the concept became mandatory.
If today an employer had to decide on an outsourcing arrangement for a compulsory service that was going to cost a minimum of 8% of total payroll, would they apply a greater degree of due diligence to the decision than they did several years ago?
Furthermore, some of the “off-the-shelf” pension arrangements that have been adopted have subsequently been shown to be poor choices for future pension needs in terms of cost, flexibility and outcomes, and some could even be susceptible to legal challenge from disgruntled employees.
Beacon Wealth Management Ltd would be happy to have an informal discussion with any company who feels they would like to review their initial decision on their workplace pension scheme. Initial and ongoing fees may apply.
The Government has introduced legislation designed to help individuals save more for their retirement. It requires all employers to enrol their employees into a workplace pension scheme.
Key Points for Employees:
- You have a choice – you can opt out/in now or in the future
- You will have your own pension pot and can make choices about it if you want to (but you do not have to)
- You are not the only one paying in – your employer contributes and you get tax relief
- Makes it easy for you to save for retirement
- You should get personalised information from the start about the money paid into your pension pot
- The full basic State Pension is £155.65 a week (this could change). Whilst it helps increase the amount you receive in retirement, you will probably want more.
- This does not replace or affect entitlement to the State Pension
- It is never too early or too late to save for your retirement
- Builds peace of mind for your future
- It is a government change and every employer has to offer it
- Pensions are a long-term investment and they usually produce better returns than savings accounts*
- Having a pension does not rule out other ways of saving
- Pensions are now better protected
- The money is not lost if you move jobs or die before you retire
*past performance is no indication of future returns
Beacon Wealth Management Ltd has a selection of material available to
employers, to enable effective communication to employees, regarding their workplace pension arrangements. (If you are employee who would like further information, your company (if with Beacon Wealth Management Ltd), should have this to hand.)
Do you feel like the Government is against you, and that you are losing control?
Whilst it is true that you have to supply a workplace pension scheme for your employees (often referred to as workers), you can take back some control.
The government has introduced a law designed to help people save more for their retirement. It requires all employers to enrol their workers into a workplace pension scheme, if they are not already in a qualifying one.
The required duties are detailed within hundreds of pages of legislation which cover what the duties are, when you have to apply, and what happens if you do not comply with them.