A leading North-east accountancy firm is warning business owners to take heed of auto-enrolment rules or face substantial penalties.
SBP Accountants and Business Advisers, which has offices in Aberdeen, Peterhead, Fraserburgh and Banff, has issued the caution almost three years after the legislation was introduced, due to people still choosing to ignore the legislation.
The firm offers a range of financial services for large and small businesses as well as individuals including, accountancy and audit, taxation, business advice and support services such as bookkeeping and payroll.
By 2018 every company in the UK, regardless of size, will have to offer employees access to a workplace pension scheme.
A major component of this is the auto enrolment system whereby employees are automatically entered into a pension scheme and have to personally opt out if they do not wish to make contributions.
SBP managing director, John Hannah, said that many people are continuing to ignore the rules regarding pension schemes for employees, which can have serious consequences.
Penalties align with the size of a firm, and employers with between five and 49 employees can expect to pay £500 for each day of non-compliance.
To help business owners understand the regulations, SBP will be hosting a special auto-enrolment seminar at The Royal Bank of Scotland’s Corporate and Commercial Centre, Albyn Place in Aberdeen on Wednesday 12 August.
Mr Hannah said: “Although people are becoming more aware of auto-enrolment, there are worrying levels of complacency, with bosses choosing to bury their head in the sand. Failing to comply by the staging date, which is determined by the number of employees a firm has, can have severe consequences with employers facing hefty fines for not signing staff up in time.”
“Our seminars aim to explain to employers what auto enrolment is and how it is likely to affect their business, as well as their responsibilities and the timescales applicable to them.”
SBP has teamed up with pension provider ‘NOW:Pensions’, who are a major player in the auto enrolment marketplace offering businesses an alternative to the government backed NEST scheme.
The auto-enrolment event runs from 3 to 5pm. To register please email firstname.lastname@example.org