Employer paying pension late...
Employer paying pension late...
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Discussion

Matt..

Original Poster:

4,031 posts

219 months

Friday 3rd June 2016
quotequote all
My employer is paying my pension contributions late. Contributions for the end of last year went into my pension at the end of April/early May this year, and i have had none of this years contributions.

What steps should i take with this? Is this something that should be dealt with by a conversation with my employer, or someone else?


Thanks

PurpleMoonlight

22,362 posts

187 months

Friday 3rd June 2016
quotequote all
Contributions must be paid accross by the 19th of the month following collection, so they are breaking the law.

If you are concerned you should notify the Pensions Regulator.

Matt..

Original Poster:

4,031 posts

219 months

Friday 3rd June 2016
quotequote all
These are the dates for the latest payments:

Payment date Payment receipt date
28/12/2015 11/05/2016
28/11/2015 27/04/2016
28/10/2015 21/04/2016
28/09/2015 11/04/2016

The Leaper

5,715 posts

236 months

Friday 3rd June 2016
quotequote all
Your employer is flouting the legislation. You can lodge a formal complaint. You may want to have a chat with The Pensions Advisory Service beforehand. Their services are unbiased and totally free.

R.

anonymous-user

84 months

Friday 3rd June 2016
quotequote all
Matt.. said:
My employer is paying my pension contributions late. Contributions for the end of last year went into my pension at the end of April/early May this year, and i have had none of this years contributions.

What steps should i take with this? Is this something that should be dealt with by a conversation with my employer, or someone else?


Thanks
You should definitely discuss the matter in the first instance with your line manager.

Show them the payment history and dates and explain your concerns. If they don't promise to sort it out asap I would strongly suggest looking for a new job.

If an employer can't get something as fundamental as this right, it would make me question in what other ways are were being lax.


DevestatinDave

51 posts

219 months

Friday 3rd June 2016
quotequote all
It could be a warning. The same happened to me in my previous job, I had received multiple letters from the pension provider saying they hadn't received payments. The company went into administration shortly afterwards.

anonymous-user

84 months

Friday 3rd June 2016
quotequote all
DevestatinDave said:
It could be a warning. The same happened to me in my previous job, I had received multiple letters from the pension provider saying they hadn't received payments. The company went into administration shortly afterwards.
Whereas in my previous job, i had 6 months of no/late payements because there was only one person in Payroll trained to do it and she was off on the sick. You're better off first querying it with your employer's payroll/pensions team. If the scheme provider is continuously receiving payments late they may have sent a sternly worded letter to your employer threatening to escalate to the Regulator.

Ozzie Osmond

21,189 posts

276 months

Saturday 4th June 2016
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One point to bear in mind - if your employer is getting into financial difficulty then it's better to get late contributions than to push the employer into bankruptcy and receive NO contributions! On the positive side many businesses are profitable but struggle for cash flow on a day-to-day basis (for instance because the customers are slow to pay).

My suggestion is to raise the matter with your employer in the first instance and see what they say. You could, for instance, draw this link to the attention of your payroll department, finance director or whatever.
http://www.thepensionsregulator.gov.uk/employers/c...

It says, "When you must pay your contributions

"You need to pay your contributions to your staff pension scheme on time. This includes calculating and deducting contributions from your staff's salaries. You must agree the due dates for paying contributions to the scheme with your trustee or provider.

"However the law requires that when you deduct contributions from your staff's pay you must pay these to your staff pension scheme no later than the 22nd day (19th if you pay by cheque) of the next month.

"You risk being fined by the regulator if you don’t pay on time."

LeoSayer

7,838 posts

274 months

Saturday 4th June 2016
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Have you missed any investment growth as a result of the delays?

Backtobasics

1,182 posts

213 months

Monday 6th June 2016
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The pension provider has an obligation to report the company too, so expect senior management / pension administrators to have had letters from the provider. Can mean the company is in financial trouble or the pension administrator for your firm needs to address their obligations.

Smells bad to me OP.

LeoSayer

7,838 posts

274 months

Tuesday 7th June 2016
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Yes, get on the phone to one of the trustees.