Some of our employee and employer AE pension contributions are currently different to the minimum compliance rates. What will happen on 6th April 2020?

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If both employer and employee rates are currently below the new minimum contribution rates then both rates will be brought up to the new minimum rates on 6th April 2020. If one employee is already on the new rate and the other employee is not in this case only the employee whose rate is below the new minimum will be increased.

If both employees contribution rates are already higher than the new rates there will be no automatic action taken. Any adjustment exceeding the new minimum rates would need to be implemented manually by the payroll manager.


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