Policy News Journal - 2013-14

week

weeks month quarter annual

Lower level of qualifying earnings Earnings trigger for automatic enrolment Upper level of qualifying earnings

£5,668 £109 £218

£436

£473

£1,417 £2,834

£9,440 £182 £364

£727

£787

£2,360 £4,720

£41,450 £797 £1,594

£3,188 £3,454 £10,363 £20,725

Earnings thresholds for previous tax years

Pay reference period

1 week

4 weeks

1 month

1 quarter

4 monthly

Bi- annual

2012-2013

Annual

Fortnight

Lower level of qualifying earnings Earnings trigger for automatic enrolment Upper level of qualifying earnings

£5,564 £107 £214

£428 £464 £1,391 £1,855 £2,782

£8,105 £156 £312

£624 £676 £2,027 £2,702 £4,053

£42,475 £817 £1,634

£3,268 £3,540 £10,619 £14,159 £21,238

CIPP comment

Following the announced thresholds, TUC General Secretary said ,

“Every time the government raises the auto-enrolment threshold another group of workers, most of whom are women, drop out of saving for their pension. With the average part-time salary just under £9,000 a year, the majority of the UK’s six million part-time workers will no longer be automatically enrolled into a workplace pension.” Whilst the CIPP agree that the increase in the earnings trigger will prevent mostly women with an average part-time salary being part of a pension scheme, from an administration point of view it does simplify the process for employers who only have to deal with one set of thresholds.

Automatic enrolment earnings thresholds 2014/15

10 January 2014

The DWP announced the proposed annual thresholds for the 2014/15 tax year in December and although the annual figures should remain as published, the proposed earnings trigger values by pay reference period are likely to be slightly different.

The annual thresholds are expected to remain the same.

2014-2015

Proposed Annual threshold

Lower level of qualifying earnings

£5,772

CIPP Policy News Journal

16/04/2014, Page 402 of 519

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