Another question on Auto Enrolement

Dawny

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?

MarieNoelle

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.

Gem7321

But still need to tell TPR that you are not an employer for auto-enrolment https://automation.thepensionsregulator.gov.uk/notanemployer

MarieNoelle

Thanks @Gem7321 I have been looking for this link!