April 2024’s Pensions Update – Extensions of Automatic Enrolment Act 2023

In the ever-evolving landscape of employee benefits, the Pensions (Extension of Automatic Enrolment) Act 2023 is set to be a game-changer. With the lowering of the eligibility age from 22 to 18, this legislation ensures that the younger segment of your workforce can begin accruing savings for retirement earlier, fostering a culture of financial security and forward planning.

Removing the minimum earnings threshold of £6,240 could mean increasing contributions by almost £500 annually, providing a stronger safety net for your employees’ futures. It’s an investment in the workforce that underscores a commitment to their long-term well-being.

This initiative could potentially mean an annual increase in contributions and offer substantial benefits for retention and recruitment. As business leaders, staying informed and adapting your enrolment processes to align with these changes will be essential.

Now is the time to embrace this progressive step, integrate it into your benefits package, and communicate the advantages to your team. Not only does it support your employees’ futures, but it also enhances your reputation as an employer of choice.

If you’d like to learn more about how April’s Pension Update will affect your business… we’d like to hear from you. Call today – make Personology your outsourced HR department and ensure your business stays compliant.