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Another question on Auto Enrolement

DawnyDawny Settling In NicelyMAAT, AAT Licensed Accountant Posts: 60
I have just been advised that where a company only pays directors, who don't have contracts with the company, would fall outside the scope of auto-enrolment. This sounds a little bit too good to be true, has anyone else heard of this?

Or would the fact that the director receives a payroll, imply there is an employment contract?

Comments

  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,431
    It's true! ;)

    http://www.thepensionsregulator.gov.uk/checking-who-to-enrol.aspx

    What if my client doesn’t have any staff other than directors?

    Your client won’t have any duties if any of the following apply:

    they are the sole director
    the only people working for them are a number of directors, none of whom have an employment contract
    the only people working for them are a number of directors, only one of whom has an employment contract
    Automatic enrolment will apply if more than one director has a contract of employment.
    StuartW
  • Gem7321Gem7321 Experienced Mentor DevonMAAT, AAT Licensed Accountant Posts: 1,438
    But still need to tell TPR that you are not an employer for auto-enrolment https://automation.thepensionsregulator.gov.uk/notanemployer
    MarieNoelleStuartW
  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,431
    Thanks @Gem7321 I have been looking for this link!
    Gem7321
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