Smart Pensions

Meeting our pension requirements for PAYE workers.

Auto-Enrolment Information

Orbital Umbrella has partnered with Smart Pensions to help meet our legal requirements in delivering an auto enrolment scheme.

Auto enrolment has been designed to encourage a retirement savings culture in the UK. This new legislation requires all employers to automatically enrol some or all members of their workforce (depending on age and salary level) into a pension scheme that meets certain minimum standards. Some workers will also have the right to ask their employer to enrol them into an auto enrolment pension scheme.

Useful guides about what Smart Pensions and Auto-enrolment:

What is a "qualifying employee"?

A qualifying employee is:

  • Any employee of any nationality who ordinarily works in the UK;
  • Who is 22 and over but under the state pension age;
  • and who earns more than £10,000 a year.

What's in it for the employee?

  • Initially, employees must contribute 1% of their pre-tax pay to the pension. Their employer will then top that up by 1.%. Total pension contribution: 2.0% of the employee's gross salary.
  • So, initially for every pound of net pay that an employee puts into their pension, another 1 pound 50 will go in on top, for free, from their employer and from the government (in the form of a tax credit).
  • In early 2018, the employer's contribution will increase to 2.0%, the employees to 3.0 (which includes the government's tax top up of 0.6%). Total pension contribution: 5.0% of the employee's gross salary.
  • In early 2019, the employer's contribution will be 3.0%, the employee's 5.0% (which includes the government's tax top up 1.0%). Total pension contribution: 8.0% of the employee's gross salary.

What happens next?

  • Smart Pensions will be sending out initial information and joiner packs (where applicable) to individuals via post or email.
  • All new starters will be individually deferred for 3 months, so if you are still working with us after 3 months you will be automatically enrolled providing you meet the qualifying criteria. Employers must not encourage or force employees to opt out. However, employees may choose to opt out on their own.
  • Workers will be able to manage their account online via the Smart Pensions portal. For further information check out:

Smart Pension contact details:

T: 03336 662 626