Pension contributions
As an employer, you will have to contribute a percentage of your employee’s salary to their pension pot.
The table below shows the minimum contributions you and your employees will need to pay, but you can choose to pay in more if you want to.
Date | Employer Minimum Contribution | Employee Contribution | Total Minimum Contribution |
Current rate: 6 April 2019 onwards | 3% | 5% | 8% |
Previous rate: 6 April 2018 to 5 April 2019 | 2% | 3% | 5% |
Member charges
Contribution charges
A contribution charge is deducted on each contribution going into the pension fund. This is 1.8%. For example: £80 is added to the fund each month. The contribution charge would then be £1.44 per month or a total of £17.28 per year.
Annual Management Charge (AMC)
An AMC is deducted off the value of the pension fund each year. This is 0.3%. For example: If the fund is worth £5,000 this means that the AMC for that year would be £15.
Investment Switching charges
Members who have chosen the Freestyle Option are entitled to switch investments twice per annum without an administration charge. Subsequent requests within a 12 month period may incur a charge, a decision which lies with the Trustee.
The Scheme’s Board of Trustee Directors reviews the charging structure on a regular basis.
If you were on the Enhance scheme which is now WPTE, the charges information is below:
Enhance scheme
As an employer, you will have to contribute a percentage of your employee’s salary to their pension pot and pay for lump sum life cover and accidental death.
The table below shows the minimum contributions you and your employees will need to pay. You can choose to pay in more if you want to.
Date of Introduction | December 2016 to present |
Employer Contributions | 4% of normal weekly pay or £10.24 per employee per week (whichever is higher) £2.56 per employee per week towards lump sum life cover and accidental death cover |
Employee Contributions | 5% |
Member charges
Annual Management Charge
There is an Annual Management Charge (AMC) of 0.75% deducted from the total pension fund each year. For example if the total retirement pot is worth £5,000 the AMC would be £37.50. The Trustees review the charging structure on a regular basis.
Investment Switching charges
Members who have chosen the Freestyle Option are entitled to switch investments twice per annum without an administration charge. Subsequent requests within a 12 month period may incur a charge, a decision which lies with the Trustee.
The Scheme’s Board of Trustee Directors reviews the charging structure on a regular basis.